Nepal Rastra Bank Eases Foreign Exchange Policy Doubling Medical Limits and Relaxing Trade Rules

6th October 2026, Kathmandu

Nepal Rastra Bank (NRB) has introduced significant relaxations in its foreign exchange policy through amendments to the Integrated Circular-2082.

NRB Eases Foreign Exchange Policy

The Foreign Exchange Management Department of the central bank doubled foreign exchange exchange limits for medical treatment abroad, expanded payment thresholds for service imports, and introduced flexible regulatory provisions for aviation, telecommunications, travel, and banking sectors.

Medical Exchange and Telecom Service Payments

Medical Treatment Limits:

Increased the foreign exchange exchange limit for Nepalese citizens undergoing medical treatment at foreign hospitals, including the procurement of essential medicines and equipment, from USD 15,000 to USD 30,000 annually.

Satellite Service Rentals:

Commercial banks can now independently approve payments up to USD 500,000 per year for local telecom providers leasing satellite services from foreign vendors, up from the previous USD 100,000 cap.

Per-Transaction Approvals:

Commercial banks can process individual service payments up to USD 30,000 (up from USD 15,000) based on regulatory approval or exchange recommendation. Payments exceeding USD 30,000 require direct NRB approval.

Unregulated Payments:

Per-transaction service payments exceeding USD 8,000 without regulatory oversight or consensus must obtain central bank approval.

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Service Imports, Aviation, and Trade Payments

• Advance Payments: Raised the advance payment threshold for service imports requiring a foreign bank guarantee from USD 15,000 to USD 30,000 per transaction.
• Aviation Engine Repairs: Nepalese airlines can now send up to USD 500,000 (up from USD 100,000) in advance payments via banks without requiring foreign bank guarantees to import repaired aircraft engines and spare parts, subject to CAAN recommendations.
• Payments to India: Increased the individual transaction limit for registered Nepalese or foreign entities paying Indian service providers from INR 4.0 million to INR 6.0 million through commercial banks. Payments above INR 6.0 million require NRB approval.
• Export-Linked Third-Country Imports: Commercial banks receiving export proceeds can provide import payment facilities up to USD 30,000 for third-country imports (up from USD 12,000) and up to INR 6.0 million for India imports (up from INR 3.0 million).

Travel Sector, Cards, Foreign Debt, and Banking Liquidity

Travel Agency Regulations:

Licensed travel agencies remitting service fees to foreign agents must restrict payments to the exact foreign currency amounts earned or received from foreign tourists in Nepal, based on valid foreign agent invoices.

Online Earnings on Cards:

Freelancers and service exporters can credit online foreign earnings directly to their card balances or bank accounts. Balances exceeding USD 10,000 must be mandatorily deposited into the cardholder’s local or foreign currency bank account.

Card Spending Limits:

The annual exchange spending limit for service exporters using cards is now set to earned foreign income plus USD 500, capped at a maximum of USD 10,000 per year.

Foreign Loan Guarantees:

Class ‘A’ commercial banks are authorized to issue foreign currency bank guarantees or Standby Letters of Credit (SBLC) for Nepalese firms in IT, agriculture, manufacturing, infrastructure, tourism, and energy securing foreign loans.

Agent Bank Liquidity Investments:

Banks and financial institutions (BFIs) can invest up to 40 percent of total agent bank balances in call deposits or low-risk financial instruments with maturities up to 2 years, and up to 5 years in liquid government securities. Hedging financial instruments up to 5 years are also permitted for foreign exchange risk management in core priority industries.

For More: NRB Eases Foreign Exchange Policy