Evolution of Digital Payment in Nepal – From Cash to Clicks

Nepal’s journey toward digital payment has accelerated remarkably since Nepal Rastra Bank (NRB) initiated structured efforts in fiscal year 2076 BS (2019/20). To promote cashless transactions and financial inclusion, NRB began issuing annual Integrated Payment System Directives, setting out clear policies for electronic payment systems, transaction limits, and security standards. These directives have been pivotal in transforming how Nepalis pay, transfer, and receive money — shifting from traditional cash-based systems to instant, mobile-based digital ecosystems.

Under the Retail Value Payment System (RVPS), NRB has allowed small-value transactions to occur seamlessly through wallets, mobile banking, internet banking, and QR code platforms. This structure encourages everyday consumers and small businesses to adopt digital modes of payment for daily use — such as shopping, bills, or services. For instance, mobile applications like ConnectIPS, eSewa, Khalti, and others now allow users to transact up to NPR 5 lakh per day via apps and even higher through web-based platforms, without monthly limits.

Furthermore, wallet-to-bank transfers are permitted up to NPR 9 lakh daily and NPR 90 lakh monthly, while wallet-to-wallet transfers are capped at NPR 1 lakh per day. Importantly, government-related payments — such as taxes, vehicle registration, telecom bills, social security contributions, and insurance premiums — have no limits, reinforcing transparency and efficiency in public transactions. This framework not only promotes digital literacy but also enhances accountability and reduces the risks associated with cash handling.

Moreover, transactions made through debit, credit, or prepaid cards and e-commerce platforms have no upper ceiling, showing NRB’s vision to enable a modern, interconnected payment ecosystem. The absence of restrictions for same-account transfers or transfers to linked wallet accounts further supports business continuity and automation in personal finance management.

Overall, these measures reflect NRB’s broader ambition to foster a digital economy where “cashless” becomes the norm rather than the exception — boosting financial access, convenience, and traceability across Nepal’s banking landscape.