Nepal bans new Indian currency notes above Rs.100

Written by Sabrangindia | Published on: December 14, 2018

According to a report by Kathmandu post, the government has asked Nepal citizens to refrain from keeping new Indian note of Rs. 2,000, Rs. 500 and Rs. 200 denominations.


Indian Currency
 
Kathmandu: The Nepal government has decided to ban Indian currency above Rs. 100, according to a report published in Kathmandu Post on Thursday.
 
According to the report, the government has asked Nepal citizens to refrain from keeping new Indian note of Rs. 2,000, Rs. 500 and Rs. 200 denominations. The government has asked the people to refrain from keeping or carrying Indian bank notes higher than Rs. 100 denomination as it has not legalised the higher denomination notes, The Kathmandu Post quoted Nepal Minister for Information and Communications Gokul Prasad Baskota.
 
The decision, which will affect middle and low-income Indian tourists, was taken at the last Cabinet meeting, the minister announced.
 
The move can also affect the Nepali people working in India, who carry the currency in Nepal for transactions.
 
Indian had introduced the new notes of Rs 2,000, Rs 500 and Rs 200 denominations after demonetisation in 2016. The Nepal government has not notified legalisation of new Indian notes.
 
People had been using the new notes in Nepal for nearly two years after demonetisation was announced in November 2016.
 
“The decision comes as the Nepal government is preparing to celebrate 2020 as the ‘Visit Nepal Year’. Estimates indicate that at least 2 million people will visit Nepal in 2020, the bulk of them from India. In an unrelated incident, a Kathmandu court imposed a fine of Rs. 1,000 on an activist who had planned to show a black flag to Prime Minister Narendra Modi when he had visited Nepal on August 30 to participate in the BIMSTEC summit,” The Indian Express reported.