Nepal to Ban Use of Indian Currency Notes Above Rs 100: Report

A notice in this regard would reportedly ask people “not to use Indian bills of 200, 500 and 2,000 denominations”.

The new Rs 500 notes. Image used for representational purposes. 

(Photo: AP)

Nepal has reportedly taken a decision to ban the use of Indian currency notes higher than denominations of Rs 100 in the country.

A notice in this regard is likely to be published by the Nepal government, asking people "not to use, carry and keep the Indian bills of 200, 500 and 2,000 denominations,” reported The Kathmandu Post, citing government spokesperson and Minister for Information and Communications Gokul Prasad Baskota.

Baskota was quoted as saying that the Nepal government has not legalised Indian bank notes higher than Rs 100 denomination.

The decision can affect Nepalese workers in India as well as Indian tourists visiting Nepal.

The Indian government had introduced new notes of Rs 2,000, Rs 500 and Rs 200 denominations after it demonetised high-denomination currency in 2016.

People had been using the new notes in Nepal for nearly two years.

Nepal allows the use of the Indian rupee in its economy, and was impacted by the Narendra Modi-led government’s decision to scrap Rs 500 and Rs 1,000 notes in November 2016.

(With inputs from PTI.)