Mumbai – IME Pay’s Chief Executive Officer, Praveen Regmi, highlighted the pivotal role that non-bank companies in Nepal and India are playing in the payment ecosystem, especially in cross-border payments. Speaking at the ‘Global Fintech Festival’ held in Mumbai from August 28 to August 30, Regmi emphasized the significant contributions of payment processors in Nepal, who are leading the way in electronic transactions and facilitating cross-border payments.

Regmi, during a session titled ‘Efficiency vs Inclusivity: Examining Bilateral and Multilateral Cross-Border Payments System,’ pointed out that these payment processors are crucial in enabling banks to receive payments from international customers. Despite not having bank licenses, these companies have been instrumental in making payments easier for users who have come to Nepal from abroad, offering innovative and customer-focused solutions.

He explained that these non-bank companies facilitate payments to third parties and collect payments through their networks while operating under a sophisticated ‘Risk Guidance Framework.’ Regmi noted that the ‘Fast Payment Network’ is expanding rapidly, with banks creating a supportive environment for these companies and their competitors. He also emphasized that non-bank companies are as aware as banks about the country’s balance of payments and contribute significantly to the financial ecosystem.

In Nepal, non-bank companies are not only leading in cross-border person-to-person (PTP) payments but also dominate the remittance sector, with IME handling nearly 70 percent of both domestic and cross-border remittances. Regmi also highlighted the expansion of the ‘QR to QR’ network in Nepal, which operates free of cost, further enhancing the ease of payments in the country.