Nepal Rastra Bank Authorizes Commercial Banks to Collect Road Tolls via RFID

Kathmandu. Nepal Rastra Bank has introduced a new provision granting 'A' class commercial banks special authority to collect road usage fees (tolls). The central bank implemented this measure through the recently issued 'Unified Directive on Payment Systems, 2082'.

According to the new directive, licensed commercial banks can now issue 'RFID' tags for the purpose of collecting road usage fees from vehicles operating on roads and road sections designated by the Government of Nepal.

This arrangement is expected to eliminate the hassle of vehicles waiting in long queues to pay tolls on the road. Once vehicle owners obtain and install these prepaid tags or cards from banks, toll payments will be processed automatically at toll plazas without requiring vehicles to stop.

The Rastra Bank has taken this step in line with the government's policy to promote digital payments and make public services technology-friendly.