1st November 2023, Kathmandu
International Financial Corporation (IFC) and Nepal Clearing House Ltd. (NCHL) have agreed to strengthen the digital payments ecosystem and provide impetus to the digital payment players in Nepal.
The agreement was signed by Mr. Babacar Sedikh Faye, Resident Representative of IFC Nepal, and Mr. Neelesh Man Singh Pradhan, CEO of NCHL.
With this agreement, IFC will provide technical assistance to NCHL in various activities of implementing National Payment Switch (NPS) including its initial rollout. Such assistance will be in the form of advisory support for the review of major operating rules, and technical and security standards.
Digital Payments Ecosystem in Nepal
IFC will also support NCHL in driving new digital initiatives, cross-border payment framework, creating industry sandbox, and capacity building. The agreement between IFC and NCHL is a key milestone in the digital payments ecosystem that is expected to add value through IFC’s expert advisory and international best practices to further strengthen digital initiatives in Nepal.
IFC is a member of the World Bank Group, which is the largest global development institution focused on stimulating and helping create a conducive flow of domestic and foreign private capital into productive investment in member countries.
Digital Financial Services Nepal
IFC’s Digital Financial Services Nepal Project provides advisory support to contribute towards a well-functioning digital financial system through targeted interventions. It has been providing technical assistance and advisory to some of the major stakeholders in Nepal in the digital payments space.
NCHL is a payment system operator in Nepal promoted by Nepal Rastra Bank and almost all banks & financial institutions to implement and operate multiple national payment systems and infrastructures.
It has been operating NCHL-ECC, NCHL-IPS, connectIPS, connectRTGS, National Payments Interface (NPI), CORPORATEPAY, RPS, and NEPALPAY QR with the participation of over 55 BFIs as direct members and over 70+ non-bank institutions as indirect/ technical members.
Its infrastructures are used by BFIs, PSPs, PSOs, Government, Semi-Government Entities, large fund managers, insurance companies, remittances, merchant banks, capital market entities, etc.