Kathmandu: Nepal Rastra Bank (NRB) has announced that the development of its Central Bank Digital Currency (CBDC) has reached its final phase, alongside major efforts to strengthen the country’s digital payment infrastructure.
Acting Governor Dr. Neelam Dhungana Timsina, presenting a report on the occasion of NRB’s 70th anniversary, revealed that preparations for the pilot operation of the Wholesale Central Bank Digital Currency (wCBDC) are almost complete. The platform’s base system, wCBDC Version 0.1.0, has been developed, and the full operational version wCBDC Version 1.0.0 is in the final stages of preparation.
Under the Payment and Settlement Act, 2075, the Payment and Settlement Bylaw, 2077, and the Licensing Policy, 2079, the central bank has authorized nine Payment System Operators (PSOs) and 25 Payment Service Providers (PSPs) currently operating in Nepal.
In cross-border transactions, arrangements have been made to enable payments through platforms like UPI, Alipay+, and WeChat Pay. Additionally, NRB has prioritized cross-border payments, institutional governance, security, and risk management through the issuance of an Integrated Payment Systems Directive, 2081.
Following its Fourth Strategic Plan (2022–2026), NRB has also prepared a study report assessing the relevance and necessary regulatory framework for implementing USSD-based payment systems in Nepal.
To further promote innovation in electronic banking and payments, the central bank is collaborating with the International Finance Corporation (IFC) to establish a Regulatory Sandbox and formulate a Fintech Strategy.
Moreover, to encourage and expand innovation in financial technology, NRB has established a Digital Finance Innovation Hub under its Payment Systems Department.
With these developments, Nepal Rastra Bank is pushing forward with the modernization of its payment infrastructure, aiming to enhance financial access, ensure secure digital transactions, and prepare Nepal’s banking sector for a digital future.