Nepal Rastra Bank Issues Circular on Payment Guidelines for Foreign Exchange Trading Entities
Nepal Rastra Bank, the country's central bank, has issued a circular amending the Integrated Circular-2078 for all licensed foreign exchange trading entities. The circular, issued on Wednesday, contains new guidelines on the payment of services purchased by firms, companies, institutions, or natural persons from abroad. Under the new rules, financial institutions can deposit funds into the accounts of Nepali exporters through the banking system for providing services from Nepal to foreign entities. However, the deposit should not be made in cash.
To comply with the regulations, exporters are required to provide several documents, including a copy of their permanent account number registration certificate, invoice or purchase order issued to the service importer, and a self-declaration regarding compliance with national and international legal regulations related to financial and investment prevention in money laundering and terrorist activities.
Moreover, the circular also establishes a customs point at Chobhar dry port, where certificates for international trade can be issued as per the prevailing provisions. The circular also allows for imports through other means such as Draft/TT, SBAC, DAP, DDA, etc., to be done through the dry port customs office of Chobhar. The circular has been issued under the authority given by Section 12 of the Foreign Exchange Regulation Act 2019 and Section 63 of the Nepal Rastra Bank Act 2058.
Published by Nepal Rastra Bank on 2079-12-08
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