The Ministry of Finance has started a serious investigation into money that people are keeping without showing where it came from. Officials say some individuals may be hiding large amounts of cash with no clear source, and the government wants to track it down.
Legal money is safe
The ministry has made it clear that if money comes from a known and legal source, people are free to keep or use it in any amount. The problem, however, begins when the source is unknown or suspicious. In such cases, action will be taken under the Money Laundering Prevention Act.
Concerns after protests
The announcement comes shortly after the Gen-Z protests in late Bhadra, when reports and social media posts claimed that cash was found burnt or damaged in different places. This raised questions about who had been hiding large amounts of money.
Rules on cash and banking
The ministry also reminded the public of existing rules:
- Any transaction of 1 million rupees or more must be done through the banking system, not in cash.
- Anyone entering Nepal can bring up to USD 5,000 (or its equivalent) in cash without customs declaration. More than that must be declared.
- Nepali citizens can keep up to USD 1,500 in foreign currency for future use if it was legally earned abroad.
Government’s message
The government is encouraging people to use electronic payments instead of storing big piles of cash. With digital transactions, there is no limit on how much can be safely transferred. Officials say there is no reason to hide cash when legal banking channels are open.
If unexplained money is found, investigations and legal action will follow.
