The Reserve Bank of India is providing Rs 1 billion to the Nepal Rashtra Bank to meet the shortage of Indian currency in Rs 100 denomination. The NRB’s plan to import Rs 100 denomination notes was delayed due to the demonetization of Rs 500 and Rs 1000 notes by India. The RBI had earlier advised the Nepal central bank to wait till the situation is normalized. The entire consignment of notes is expected to be brought to Nepal in January. Currently, NRB is providing an exchange facility of up to Rs 2,000 on basis of citizenship identification, Rs 10,000 to those who submit a copy of air or train ticket to travel to India and Rs 25,000 for those travelling to India for medical check-up. The RBI has been extending Rs 6 billion exchange facility to Nepal every year but this year Nepal is unlikely to get this facility due to the demonetization move.
