Kathmandu, September 29: The Ministry of Finance has stated that investigations are underway regarding amounts of money of unidentified sources that have been hidden by various individuals in their residences or elsewhere. On Sunday, through a public notice, the ministry informed that such investigations are being carried out under the Money Laundering Prevention Act, 2008 (2064 B.S.).
At a time when discussions have arisen about cash being kept inside certain houses during the arson incidents in the course of the Gen Z movement, the Ministry issued this statement. It clarified that any amount of legally earned and source-verified domestic money can be safely kept or used either personally or at any location, without restriction under existing laws. The Ministry also urged citizens to use electronic payment systems instead of cash to avoid risks.
Referring to the incidents during the Gen Z movement on September 8 and 9 (Bhadra 23 and 24), when cash was found burned or in burned condition in various places, the Ministry drew serious attention to the matter and once again requested citizens to adopt electronic payment systems instead of cash to prevent such risks. The government has been encouraging electronic transactions through financial institutions or banking instruments for the purchase and sale of goods and services or other transactions, and urged wider use of electronic payment systems. The Ministry clarified that transactions of any amount can be carried out through electronic means, and therefore, there is no need to store large amounts of cash.
It also reminded that, as per regulations, any individual, firm, company, or institution must use banking instruments if purchasing, selling, or carrying out any transaction of one million rupees (Rs. 10 lakhs) or more at a time. Regarding taxation, the Ministry noted that applicable legal limits must be adhered to.
The notice also stated that Nepali or foreign citizens entering Nepal are allowed to bring up to USD 5,000 (in the case of Indian currency, the equivalent of USD 5,000 in Indian currency; and in the case of other foreign currencies where Nepal Rastra Bank does not publish exchange rates, up to the equivalent of USD 5,000) without customs declaration. Any amount exceeding this requires customs declaration and certification.
Similarly, the ministry informed that Nepali citizens can hold up to USD 1,500 (or the equivalent in convertible foreign currency) in cash, if acquired legally. This provision applies to foreign currency earned through employment or business abroad, or obtained under foreign exchange facilities for travel abroad, which has remained as savings.
Apart from this, if any unexplained cash is found anywhere, all relevant agencies have been mobilized to conduct investigation and take action as per existing laws, the ministry stated.
People’s News Monitoring Service.
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