NRB to Link KYC Data Across Banks via National ID – Monetary Policy 2082/83
Customers will no longer face the hassle of repeatedly updating their Know Your Customer (KYC) information at every bank they use. Banks will also no longer inform customers, “Your KYC is not updated—please update it,” as this process will now be streamlined.
Nepal Rastra Bank (NRB) has proposed a provision in the monetary policy for the upcoming fiscal year 2082/83 that will allow banks, financial institutions, and other financial service providers to obtain KYC details directly through the National Identity Card system.
Unified KYC System to End Repetitive Submissions
Customers previously had to provide separate KYC details at every financial institution where they held accounts. This system caused widespread inconvenience, prompting NRB to initiate reforms.
The monetary policy outlines that once a customer updates their KYC at any one bank, authorized entities will be able to retrieve that data electronically through integrated systems.
National ID-Based KYC Access to Be Enabled
As per the newly announced monetary policy, if any bank or financial institution requires a customer’s KYC data, they will be able to access it directly from the national ID database.
“Customer identification (KYC) details of banks, financial institutions, and other financial service providers will be facilitated through the National Identity Card,” the monetary policy states.
“Once a customer updates details with any one bank, the required institutions will be enabled to retrieve that information through electronic means. Necessary infrastructure development for such digital access will also be facilitated,” the policy further adds.
New System Will Issue Unique Customer Identification Number
Under this new system, customers who provide their KYC data will be issued a unique identification number. If any bank or financial institution requires personal information for customer identification, they can retrieve it using that identification number from the KYC system, according to Nepal Rastra Bank.
This policy marks a significant shift toward digital integration and centralized access to customer identity data in Nepal’s financial sector.
