Customers of banks and financial institutions across Nepal will now be able to close their bank accounts from any branch nationwide or through mobile and internet banking platforms, following a new directive issued by the Nepal Rastra Bank (NRB) aimed at improving customer convenience and reducing dormant accounts.
Under the revised provisions, customers can request account closure either by visiting a branch or through the bank’s mobile application or website. Upon receiving such a request, the concerned bank or financial institution must transfer the remaining balance in the account to another account specified by the customer at any bank or financial institution before closing the account.
The central bank issued the directive on Friday through a circular requiring banks and financial institutions to formulate and implement an action plan to reduce the number of dormant accounts by mid-January 2027 (Poush-end 2083 BS).
As part of the new measures, banks have also been instructed to allow customers to reactivate dormant accounts from any branch across the country after verifying the account holder’s identity, eliminating the need to visit the branch where the account was originally opened.
To prevent accounts from becoming inactive, the NRB has directed banks to regularly notify customers through phone calls, SMS messages, emails, and other communication channels before classifying accounts as dormant. Customers must receive reminders over a period of at least six months, and banks are required to maintain records of all such communications.
The central bank has also instructed financial institutions to establish systems for monitoring unusual transactions conducted through reactivated dormant accounts to detect and prevent potential money mule activities, money laundering, fraud, and other financial crimes.
In addition, banks have been directed to conduct regular public awareness campaigns by producing and disseminating informational materials on dormant accounts, money mule schemes, and financial crimes. They must also strengthen the capacity of their employees through training to identify suspicious activities and effectively mitigate associated risks.
The revised directive is part of the NRB’s broader efforts to modernize banking services, enhance customer protection, promote digital banking, and strengthen the integrity of Nepal’s financial system.
