Payment system : IFC supporting Nepal

KATHMANDU, DEC 07 -

International Finance Corporation (IFC), a member of the World Bank Group, is supporting Nepal to develop an efficient national payment system to regulate all the electronic payment mechanisms in the country and help integrate small businesses and consumers in the economy.

The project, which is being developed in collaboration with the World Bank (WB), includes building efficient payment mechanisms like mobile money and evolving a comprehensive legal and regulatory framework for the payment system.

According to IFC, it would be an integrated approach to develop retail payment systems, utilizing technology to expand the reach of financial services.

The South Asia Enterprise Development Facility, managed by IFC in partnership with the UK government and the Norwegian Agency for Development Cooperation, is supporting the initiative.

“A safe, reliable and efficient national payment system will expand access and support economic growth, boosting growth of small and medium enterprises,” said Madhu Kumar Marasini, joint secretary and chief of the foreign aid coordination division, Ministry of Finance, Nepal.

“Strengthening the legal and regulatory framework will support introduction and adoption of innovative payment products in both urban and rural markets,” said IFC.

“By promoting electronic payment services to the under-served, the initiative will result in greater ease and transparency in undertaking transactions.”

Source: The Kathmandu Post