United Bank of India (UBI) on Wednesday teamed up with Global Bank (GBL), Nepal, one of the leading commercial banks in Nepal having a network of 31 branches and headquarters in Kathmandu, to offer Indo-Nepal remittance facility for the large segment of Nepalese-origin people working in India.

As per the agreement, a person of Nepalese origin can remit funds in Indian currency within the limits stipulated by the Reserve Bank of India (RBI) to a beneficiary in Nepal, through any of the designated branches of UBI, after completing necessary KYC (know-your-customer) requirements for both remitter and as well as the beneficiary.

The remitter will be provided with a unique PIN, which will then be communicated by the remitter to the beneficiary in Nepal. The beneficiary can claim the funds within seven days in Nepalese rupees by producing the PIN along with the photo ID as provided by the remitter at any of the 31 branches of Global Bank in Nepal, or at any of the 1,741 claim outlets of the International Money Express (IME) (super agents of Global Bank).

In case the beneficiary maintains an account with GBL, the equivalent amount in Nepalese rupees will be directly credited to the account. The cash management services system of UBI has been interfaced with the ‘Globe Remit’ system of Global Bank, for facilitating online information sharing about the transactions between the two banks.

Bhaskar Sen, CMD, UBI said that the move aimed at providing a safe and efficient remittance facility to a large segment of Nepalese population in the eastern and north-eastern parts of the country, where UBI has large presence. “The new services will also be beneficial for the army and paramilitary personnel of Nepalese origin, especially those serving in the Gorkha Regiments and Assam Rifles, who remit a large portion of their income to their homes back in Nepal,” added Sen. UBI is keen to explore other areas of banking for facilitating bilateral trade between India and Nepal.

Chandra Prasad Dhakal, chairman, Global Bank said, “As per latest estimates, the inward remittance from India to Nepal is to the tune of Rs 5,000 crore, which, at present, is mostly unorganized, and there is a huge potential for both the banks in this field.”

ritwikmukherjee@mydigitalfc.com