According to e2India.com, in a recent circular, NRB authorised merchant payments in India and Bhutan using QR codes, alongside other methods such as e-banking, interbank payments, and mobile banking. The circular also imposes a daily transaction limit of Rs 15,000 (USD 180) or Rs 100,000 (USD 1200) per month for merchant payments by Nepali citizens to Indian merchants for goods and services. Bhutan's central bank has similarly issued a circular permitting such payments.
In response to this regulatory change, Nepalese payment system operators are preparing to launch these services in India according to the same source. Nepal Rastra Bank has mandated that Nepali enterprises engaged in digital cross-border payment systems obtain prior approval from the central bank before entering agreements with overseas partners. This regulatory framework aims to support secure cross-border transactions while ensuring compliance with national financial regulations.
Fonepay was quoted as stating that they are technically prepared to offer QR code payment services for Nepalis in India, with plans underway pending minor documentation. Since March, Indians have been able to make mobile payments in Nepal, a development hailed as a significant advancement in cross-border digital payments between the two countries.
Nepal's central bank has introduced a retail payment switch to facilitate person-to-person transactions within the country, operated by Nepal Clearing House. Additionally, efforts are underway to establish a national payment switch to streamline the routing and settlement of retail transactions across Nepal.
The new guidelines allow Nepali traders to accept payments for goods and services via QR codes and other digital methods that use Indian payment instruments, marking a further integration of digital payment solutions between Nepal and India.
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