FINTECH REVOLUTION IN NEPAL

 Fintech stands for financial technology. The technology that is used to operate the system of banks and corporate entities or technologies that increase the efficiency and convenience of using products and services of financial institutions.

 Nepal is as of now encountering a radical change in its monetary division due to the fast development of Money related Innovation, or FinTech. This change is reshaping the conveyance of monetary administrations, making unused roads for advancement and consideration. This article investigates the development of FinTech in Nepal.

Fintech has been widely adopted in banks and financial institutions. The origin of fintech in Nepalese banking is linked to the credit cards introduced by NABIL bank in 1990, automated teller machines (ATM)  introduced in 1995 by kumari bank, E-banking service adapted by kumari bank in 2002, SMS banking in 2004 by Laxmi bank etc. 

It has been more than a decade since digital payments was first introduced to Nepal. Growth of digital payment is very fast. The estimation of today is that there are 4 million digital wallet users in Nepal. Youngsters these days prefer digital wallet over ATM/ credit cards or cash transactions. 

Various uses of digital wallet like bill payment, ticketing, booking, mobile topup, money transfer etc has made people feel very convenient. 

The most liked and prefered function of digital wallet is QR code scanner which is very safe and actually very easy to use. Even many elderly people in Nepal are using this function. 

Fintech also includes the development of apps and websites for trading of stocks. Meroshare and connect ips are some examples that are developed for tracking, buying, selling of stocks, bonds, mutual funds etc.

The development of fintech has changed the traditional banking system by bringing in new technology and changing how financial services are provided to customers. While fintech has some good points like making things easier, quicker, and more accessible, there are worries that it might replace the traditional banking system that has been around for a long time. 


Comments

Post a Comment

Popular posts from this blog

THE HISTORY OF BANKING IN NEPAL

Image
The banking system on Nepal started with the establishment of Nepal Bank Limited in November 15,1937 AD (1994 BS).It was established by Juddha Shumsher (Rana prime minister of Nepal (1932-1945).Inaugurated by His Majesty King Tribhuvan. It was managed by Mr. Thakur Sing Kathait as chief manager from kartik 1994 BS. It's 40% of share was owned by government and 60% was owned by private sectors. The purpose of opening Nepal Bank Limited was to provide banking services to Nepalese people. In 1956 (Baisakh 14,2013 BS) under the Nepal Rastra Bank act, 1955, the central bank of Nepal, Nepal Rastra Bank (NRB) was established to discharge the central banking responsibilities. Mr. Himalaya Shumsher JBR was the founding governor to lead Nepal Rastra Bank. Mr. Laxmi Nath Gautam and Mr. Pradyumana Lal Rajbhandari were the second and third governor of NRB respectively. Then the banking act, 2058(2002) was published and it's objectives were. ·       To formulate necessary...
Read more

Nepal's Banking Sectors : An overview of key institutions

Nepal's banking system is divided into central bank, commercial banks, development banks, finance companies and microfinance. Nepal Rastra bank is the central bank and is responsible to publish monetary policies and regulations. Commercial bank operates the services like saving, loans, transactions including domestic and international. Development bank helps in financing specific sectors like agriculture, local industries etc Finance and microfinance institutions focus on various financial services. The economy of the country depends on these sectors. KEY BANKING INSTITUTIONS OF NEPAL. NEPAL RASTRA BANK ESTD: April 26, 1956 Role: To formulate monetary policy.           To formulate foreign exchange policy.           To maintain stability in market prices.           To issue currency notes.         ...
Read more