21st February 2025, Kathmandu
Nepal Rastra Bank (NRB) has decided not to renew the license for Nepal Pay Time, a mobile wallet service provider. The central bank issued a statement confirming the license revocation, citing several reasons for this decision.
Nepal Pay Time License Revoked
Background of Nepal Pay Time’s License
Nepal Pay Time received its payment service provider license from NRB on 19th Bhadra 2076 (September 5, 2019). However, the service has been inactive for a long time. The mobile wallet app has also been unavailable on the Google Play Store and Apple App Store, raising concerns over its operational viability.
Reasons for License Refusal
NRB highlighted multiple factors behind its refusal to renew the license:
Service Suspension: Nepal Pay Time has not provided any active payment services for an extended period.
Weak Governance: The company exhibited weak corporate governance and failed to implement the NRB’s directions effectively.
Non-Compliance with Regulations: The company did not comply with the regulatory guidelines set by NRB, particularly under Section 13(4) of the Payment and Settlement Act, 2075.
Due to these issues, NRB decided that the company did not meet the requirements for a license renewal.
Instructions for Affected Customers
The central bank has advised customers with ongoing transactions through Nepal Pay Time to contact the company within 30 days of the notice’s publication. This step aims to help customers resolve any outstanding transactions and prevent further complications.
Impact on Nepal Pay Time’s Users
With the license revoked, users who had financial dealings with Nepal Pay Time need to act quickly. NRB has urged users to complete any unresolved transactions in the next 30 days to avoid any potential disruptions or delays.
Conclusion
The NRB’s decision emphasizes the importance of operational continuity and regulatory compliance in the mobile payment sector. Institutions must maintain good governance and adhere to NRB’s regulations to continue operating legally. This move serves as a reminder for all mobile wallet providers in Nepal to follow the law and maintain trust within the financial ecosystem.
This development ensures that Nepal’s financial services environment remains secure and reliable for its citizens.
For more: Nepal Pay Time License Revoked