Introduction
In recent years, Nepal has made significant strides toward becoming a digital economy. The rise of mobile banking, QR payments, and online wallets has made financial transactions faster, safer, and more convenient. To ensure a secure and standardized digital payment environment, the Nepal Rastra Bank (NRB) has been issuing consolidated directives on the payment system every year since 2076 BS. These directives aim to encourage electronic payment adoption among individuals, businesses, and government entities.
Arrangements Under the Retail Value Payment System (RVPS)
The Retail Value Payment System (RVPS) focuses on day-to-day digital transactions. It covers small-value payments conducted through mobile banking apps, internet banking, wallets, and QR code scanning.
Types of Transactions Covered
Transactions via mobile applications (Mobile Banking, Connect IPS, QR Code)
Transactions through web applications (Internet Banking, Connect IPS)
Fund transfers between bank accounts and wallets
Merchant payments using debit, credit, or prepaid cards
Transaction Limits for Electronic Payments in Nepal
The NRB has established clear limits for retail electronic transactions to maintain financial security and transparency.
Nature of Transaction / Instrument | Per Day Limit (NRs.) | Per Month Limit (NRs.) |
|---|---|---|
Through Mobile Applications (including QR) | 3,00,000 | No Limit |
Through Web Applications (Internet Banking, Connect IPS) | 20,00,000 | No Limit |
Bank Account to Wallet Transfer | 2,00,000 | 10,00,000 |
Wallet to Bank Account Transfer (including QR) | 2,00,000 | 10,00,000 |
Wallet to Wallet Transfer | 50,000 | 5,00,000 |
Exemptions from Transaction Limits
Certain transactions are exempt from daily or monthly limits, especially those made to the Government of Nepal and essential public services.
Payments Without Transaction Limits
Government taxes, revenues, and fines
Vehicle taxes, registration, and service fees
Utility payments (water, electricity, telecom)
Contributions to the Social Security Fund
School fees and insurance premiums
Additionally:
No limits apply when transferring funds between one’s own accounts within the same bank.
No limits apply when transferring from a wallet to a linked bank account belonging to the same user.
Special Facilities for Small and Contactless Payments
To expand digital inclusion, NRB has introduced user-friendly systems for small-value payments and contactless transactions.
USSD-Based Payments (Without Internet)
Users can transact up to Rs. 5,000 per transaction and Rs. 10,000 per day via the USSD system, which works even on basic phones without internet access.
Contactless Card Payments
Customers can make contactless payments up to Rs. 5,000 per transaction using NFC (Near Field Communication)-enabled payment cards.
Free Domestic QR and Online Transactions
To promote digital commerce and local businesses:
No transaction fees apply for payments made via QR codes, debit cards, credit cards, prepaid cards, wallets, or mobile banking for goods and services within Nepal.
Online transactions (e-commerce) within the country are also free of additional charges.
Self-Service Recovery for Lost Credentials
If a user loses or forgets their username, password, or transaction PIN for mobile or internet banking, NRB allows self-service recovery without any charges. This ensures uninterrupted access to digital banking services.
Special Payment Services for Businesses
Businesses can benefit from dedicated corporate payment systems for managing larger transactions efficiently.
Features of Business Payment Services
Institutions can use Corporate Pay or Inter-Bank Fund Transfer for Business tools.
Enables real-time settlement for salaries, vendor payments, and government dues.
Businesses must request access through their bank and complete the required formalities to activate this service.
Large Value Payment System (LVPS) Arrangements
For high-value transactions, NRB operates the Large Value Payment System (LVPS) through the Real Time Gross Settlement (RTGS) and Inter-Bank Payment System (IPS).
Real-Time Gross Settlement (RTGS)
Transactions of Rs. 2 lakh or more can be processed instantly through RTGS.
Operating Hours:
Sunday to Thursday: 8:30 AM – 7:30 PM
Friday: 8:30 AM – 2:45 PM
Inter-Bank Payment System (IPS)
For large payments not requiring real-time settlement, NRB provides the Inter-Bank Payment System (IPS), which handles non-real-time settlements between banks.
Promoting Digital Payments for a Cashless Nepal
The NRB’s electronic payment initiatives are building the foundation for a cashless and digitally empowered Nepal. These policies:
Enhance financial inclusion
Simplify personal and business transactions
Promote transparency and security in digital payments
With the continuous improvement of mobile banking, wallet interoperability, and QR payment ecosystems, Nepal is quickly moving toward a modern, digital financial landscape.
