NRB raises forex facility

Kathmandu, August 7

Nepal Rastra Bank (NRB) has increased the foreign exchange facility for traders. Traders importing goods fromĀ  third-countries using instruments like drafts and telex transfers will be extended foreign exchange facility of up to $50,000 for one-time payment.

Issuing a circular today, the central bank has said that traders purchasing software or other intangible imports are allowed to acquire one-time letter of credit worth up to $15,000, which is an increase from existing $10,000. Nepali foreign currency account holders will also be allowed to buy goods and services worth $15,000 per year from abroad as luggage and personal belongings.

As per the circular, exporters will also get additional exchange facility to pay the compensation to their third-country buyer if any defect is found in the consignment. Exporters will get additional exchange facility to compensate the buyer as per the claim or $1,000 per consignment, whichever is lower. However, exporters have to furnish claim made by buyer.

Similarly, for foreign trips a person will now be able to obtain foreign exchange facility of up to $15,000 in a year. However, manpower firms that send more than 100 workers will get exchange facility of up to $20,000 in a year whether they wish to exchange it at one time or at intervals, as per NRB.