NTA has approved the procedure for mobile money that enables online shopping payment using mobile balance. The executive board of NTA has also authenticated the directives which will now simplify the mobile money payment in Nepal.
Currently, digital wallets or bank accounts are used for online shopping payments in Nepal. Here are the top digital payment platforms in Nepal. Now also people can use their mobile balance for the subscription of OTT TV, games, CRBT etc. But such payments were in place up to now without any regulation.
Now that the mobile money system comes into action, the new procedure governs such payment. Similarly, the directives will pave the way for upcoming mobile money system of telcos including the collaboration of Ntc and Rashtriya Banijya Bank IRBB).
Mobile money
Mobile money is a payment technology which is used to store, transfer and receive digital money using customer’s own mobile number. It is also seen as an alternative to the existing digital wallet being used in Nepal. After the subscription of this service, you will have a digital account linked to your mobile number and do the money transfer required for the payment.
The NTA directives allow the digital payment of Rs 1000 at a time and up to Rs 10,000 in a month, using the mobile balance. With such payment limit, online shopping is still far away from the current position, due to the limitation. Whereas such payment shall allow buying digital content over the internet.
Currently, a subscriber can recharge balance up to Rs 1000 which needs to be increased if the mobile money system becomes widespread so that they can hold more balance and pay for all sort of products.
Regulations
Here are some of the regulations in the mobile money directives.
- The service provider need not pay any telecom service charge (TSC) for such payment.
- They also need to take the other service charge from the mobile balance itself.
- They shall use all the equipment for mobile money, compliant with international standards. It also should be compatible with the telecom services available here.
- They shall provide the information regarding the registration, activation and bill of such payment to the customer, free of cost through the SMS.
- They shall securely save the record of all the mobile money payments for 3 months.
Two of the top telecom operators in Nepal, Ntc and Ncell have already planned to launch the mobile money service. They could be testing the mobile money in their system. For the operation of such a system, the telecom operators shall secure some license from not only the regulator NTA but also from the central bank.
Nepal Telecom is collaborating with RBB to build a subsidiary company for the mobile money platform for which they have already requested NTA for the required directions. We recommend you to read how to use mobile wallets in Nepal.
Tell us what do you think of the mobile money directives in the comments below.
