Nepal Rastra Bank election account: Guidelines issued
26th February 2026, Kathmandu
The regulatory framework governing political finance in Nepal has been significantly strengthened as Nepal Rastra Bank (NRB) officially issued its latest guidelines for opening and managing bank accounts for election campaign expenses. As the country prepares for the House of Representatives elections in the year 2082, the central bank, acting upon a formal request from the Election Commission of Nepal, has mandated that all candidates and political parties must funnel their campaign related income and expenditures through a single, specialized bank account. This initiative is a critical component of Nepal’s broader effort to combat financial irregularities, curb the influence of black money in politics, and ensure that the democratic process remains transparent and accountable to the public. By institutionalizing these banking protocols, the government is setting a new standard for electoral integrity that aligns with international best practices for monitoring political contributions and spending.
Nepal Rastra Bank election
The core of the Nepal Rastra Bank election account guidelines is the requirement for exclusivity and traceability. Under the directives issued by the Bank and Financial Institutions Regulation Department, all licensed Class A commercial banks, Class B development banks, and Class C finance companies are instructed to facilitate the opening of these special accounts. To maintain a clear and unambiguous financial trail, each candidate or political party is limited to opening only one dedicated account across the entire banking system. This restriction is vital for prevent the fragmentation of funds across multiple institutions, which historically made it difficult for the Election Commission to track total spending against the legally mandated campaign ceilings. In the year 2082, this centralized financial tracking system serves as the primary tool for auditors and regulators to verify the legitimacy of political funds.
Eligibility for opening these specialized accounts is strictly controlled through a verification process involving the Election Commission. Only individuals or parties who hold a formal letter of recommendation from the Election Commission or the concerned Chief Election Officer are permitted to open an election account. This prevents unauthorized individuals from misusing the special banking provisions. Furthermore, Nepal Rastra Bank has introduced specific regulatory exceptions to the Unified Directive of 2079 to accommodate these accounts. While general banking rules usually prohibit an individual from maintaining multiple accounts of the same nature within the same bank, the new guidelines allow candidates to open this additional election specific account without violating existing compliance norms. This flexibility ensures that candidates can fulfill their legal obligations to the Election Commission while remaining in full compliance with the central bank’s anti money laundering (AML) and know your customer (KYC) requirements.
The monitoring and oversight of these accounts represent a significant administrative undertaking for the Nepali banking sector. Banks and financial institutions have been given explicit instructions to flag any suspicious transactions or unusually large deposits that do not align with the candidate’s disclosed income sources. The Nepal Rastra Bank will work in tandem with the Financial Information Unit (FIU) and the Election Commission to conduct real time monitoring of these accounts throughout the campaign period. After the completion of the general elections, these accounts will serve as the primary evidence for the mandatory expenditure reports that every candidate must submit. Any discrepancy between the bank records and the submitted expenditure statements can lead to legal penalties, including the potential disqualification of the elected representative.
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Transparent campaign financing is essential for maintaining voter confidence in a federal democracy. In the past, the lack of structured banking records allowed for unregulated spending, often exceeding the limits set by the Election Commission. By mandating the use of a single bank account for all transactions, including the receipt of donations and the payment of campaign staff and advertising, Nepal Rastra Bank is creating a level playing field. It ensures that candidates with access to vast informal resources are held to the same standards as those relying on small scale grassroots contributions. This move toward a cashless or at least a fully documented campaign economy is a major step in modernizing Nepal’s political culture and reducing the systemic risks associated with political corruption and patronage.
Furthermore, the guidelines emphasize the responsibility of the financial institutions to ensure that these accounts are not used for money laundering or the channeling of foreign funds into domestic politics, which is strictly prohibited under Nepali law. Banks are required to maintain the highest level of diligence when processing transactions for political exposed persons (PEPs). The data collected from these accounts will not only serve the immediate needs of the 2082 election but will also provide the government with valuable insights into the cost of elections in Nepal. This data can be used to refine future legislation regarding public funding of political parties and the adjustment of campaign spending caps to reflect economic realities such as inflation and the cost of digital campaigning.
The implementation of the Nepal Rastra Bank election account guidelines also highlights the evolving role of the central bank as a guardian of democratic stability. While its primary mandate is monetary policy and financial supervision, its contribution to the electoral process is indispensable in an era where financial transparency is synonymous with political legitimacy. The cooperation between the NRB and the Election Commission demonstrates a unified state approach to tackling the complexities of modern governance. As candidates across the seven provinces begin to open their accounts and mobilize their resources, the banking sector stands as a silent but powerful witness to the financial integrity of the 2082 House of Representatives election.
In conclusion, the guidelines issued by Nepal Rastra Bank regarding election campaign accounts are a transformative measure for the year 2082. By requiring a single, designated bank account for all political transactions, the central bank is providing the necessary infrastructure for a fair and transparent electoral environment. This measure significantly reduces the scope for financial irregularities and ensures that every rupee spent in the pursuit of political office is accounted for and open to scrutiny. As the election day approaches, the successful management of these accounts will be a testament to the strength of Nepal’s financial and democratic institutions. Political parties, candidates, and banks must now act with the highest level of responsibility to ensure that this initiative achieves its goal of fostering a more accountable and trustworthy political system for all Nepali citizens.
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