Central Bank Instructs BFIs to Submit Unclaimed Deposit (20 years or longer) to Banking Development Fund

Nepal Rastra Bank has instructed all licensed banks and financial institutions to submit the deposits unclaimed for 20 years or longer into the central bank's Banking Development Fund.

According to a notice published today, banks and financial institutions should submit the amount under the central bank's Unclaimed Deposit account. The banks and financial institutions are themselves responsible to maintain an elaborate record of the depositor.

If the depositor or their beneficiary returns to claim their deposit by presenting necessary proof of ownership/ identity, the respective bank or financial institution should present all related documents to the central bank. The central bank will then refund the sum (without interest for the period in which the sum remained in the Unclaimed Deposit account).

The sum from the Unclaimed Deposit will otherwise be used for banking development in the nation.