New currency notes available without a designated exchange date
Summary
Nepal Rastra Bank has ended its practice of announcing a fixed exchange period for new banknotes before Dashain and is instead making the notes available through its offices and partner banks. The central bank says demand is lower this year, with digital payments and economic effects from natural disasters also reducing cash demand.
Key Points
- Nepal Rastra Bank will no longer announce a special period for exchanging new banknotes and is offering them through its offices and banks throughout the year except on public holidays.
- The central bank says it is distributing fresh new notes this year, unlike the previous two years when only clean circulated notes were provided.
- Demand for new notes has fallen partly because of rising digital payments and the economic impact of natural disasters.
- NRB spends around Rs3 billion a year on printing, distributing and managing banknotes, while heavy festive cash circulation can add to inflationary pressure.
