India and Nepal Strengthen Financial Cooperation with Digital Payments Initiative
| Event | Details |
|---|---|
| India and Nepal Financial Cooperation | Focus on digital payments to streamline cross-border transactions and enhance convenience for citizens. |
| New RBI Guidelines | - Nepal's Ambassador Shankar Sharma praised RBI guidelines.- Nepal citizens can send Rs 2 lakh per transaction; walk-in customers can remit Rs 50,000 per transaction. |
| UPI-NCHL Inauguration | - Unified Payment Interface-Nepal Clearing House Ltd (UPI-NCHL) to be inaugurated.- Expected to eliminate the need for carrying cash and enhance efficiency and security of cross-border transactions. |
| NIPL-NCHL Collaboration | - NIPL and NCHL partnered in June 2023 to facilitate cross-border digital payments.- Integrates India's UPI and Nepal's NPI.- MoU exchanged to establish seamless financial connectivity. |
| Future Prospects and Institutional Framework | - Initial focus on inward and outward transfers between banks.- UPI-NPI integration enables cross-border transactions and will extend to merchant payments.- NCHL, backed by Nepal Rastra Bank and commercial banks, facilitates transactions. |