Automated Teller Machine (ATM) In Nepal: 25 Years Since Inception
August 29, 2020 | Investopaper
It has been 25 years since ATM machine was introduced in Nepal. Himalayan Bank added a new chapter of digital age in Nepal’s banking sector by operating ATM booth in 2052 BS. But the use of card was started by Nabil Bank in 2047 BS.
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Current Status Of ATMs In Nepal
Until 2068 BS, there was 7.3 ATMs per one lakh population. However, at the end of Ashad 2077, such number has increased to 13.68 ATMs per one lakh population. The number of Banks & Financial institutions (A,B & C class) stand at 69 (As of Ashad end, 2077). These BFIs in total have 4,106 ATMs. Out of the total, commercial banks are operating 3,759 ATMs. Likewise, the development banks and finance companies have 296 and 51 ATMs respectively.
Similarly, the number of Debit Card users is also rising due to the hassle of queuing at bank branches with checkbooks. There were 73.29 lakh debit card users in Nepal at the end of Ashd, 2077. Out of this, about 70.62 lakh debit card holders were the customers of the commercial banks alone.
According to Nepal Rastra Bank, out of a total of 753 local levels, branches of commercial banks have expanded to 747 levels by Ashad end, 2077 BS. Of the 747 local bodies, almost all have access to ATMs along with banks.
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Transaction From ATMs
As many as Rs 54.76 Arba has been withdrawn from these ATMs in a month as banks have given priority to digital payments due to the lockdown against Corona prevention. As per NRB, Rs 54.76 Arba has been withdrawn from ATM machines through 63 lakh transactions in Ashad alone (of 2077). This is Rs. 14 Arba more than the previous month (Jestha). The total withdrawl from ATM stood at Rs 40.27 Arba from 46.63 lakhs transactions in Jestha.
The use of ATMs has increased in recent times due to the fact that people are not able to go to the bank to exchange checks. Therefore, keeping this in mind, Nepal Rastra Bank has made an arrangement to use any bank’s ATM from any bank’s card with no charge levied on it.
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