Governor Adhikari stresses need to strengthen international payment system

KATHMANDU: Nepal Rastra Bank (NRB) Governor Maha Prasad Adhikari has said digital financial services are an integral part of the financial system. He said so addressing the virtual meeting titled 'South Asia Leaders Roundtable' organised by  South Asian Regional Financial Inclusion Initiative (SARFII) on Wednesday. Governor Adhikari, who is also the Vice President of SARFII, said, “Digital financial services are an integral part of our banking system. It helps business continuity in times of crisis and uncertainty like Covid 19 pandemic.” Adhikari stressed the need to strengthen the international payment system among South Asian countries. He also opined that everyone should show solidarity to promote financial literacy and inclusion in the South Asia region. On the occasion, Governor Adhikari briefed the progress made in the fields of political and technical infrastructure development of digital payments in Nepal, international payment mechanism, financial customer protection and promotion of microfinance services among others. He mentioned that mobile banking has reached two-thirds of the total population of Nepal and informed that there has been a significant increase in payment transactions through QR codes and digital wallets in recent times. With the rapid development of digital payments, the necessary mechanism has been developed in Nepal to address the potential risks of the system, Adhikari said. He added, "We have started conducting a 'system audit' of banks and financial institutions, focusing on cyber security risks." The meeting was attended by Deputy Governor of Central Bank of Bangladesh, Nurun Nahar; Deputy Governor of Central Bank of Sri Lanka, TMJYP Fernando, Executive Vice-Chairman of Microcredit Regulatory Authority of Bangladesh, Md Fashiullah; and other officials of central banks of SAARC countries. Maldives Monetary Authority Governor Ali Hashim presided over the meeting. In September 2022, South Asian Regional Financial Inclusion Initiative (SARFII) was established as a regional mechanism of the Alliance for Financial Inclusion (AFI) with the aim of promoting financial inclusion in South Asia. READ ALSO:

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