KATHMANDU: Commercial banks in Nepal will now be allowed to issue prepaid cards for road toll payments, following a recent amendment by the Nepal Rastra Bank.
The central bank has updated its Unified Payment System Directive, 2081, introducing a new provision that enables digital toll fee collection through banking channels. With this revision, Class ‘A’ commercial banks can issue RFID chip-based prepaid tag cards to collect road usage fees from vehicles operating on designated highways.
According to the new rule, these cards will be used specifically for toll collection on roads identified by the government. The system is expected to support automatic payments using RFID technology, reducing the need for manual transactions at toll points.
Currently, only commercial banks are allowed to issue such cards. This means around 20 operational banks in Nepal are eligible to roll out the service.
The move aims to make toll collection more efficient, digital, and transparent. It is also expected to reduce congestion at toll booths and streamline financial transactions in the road transport sector.
The government has already authorized toll collection on 23 road sections, including the Nagdhunga-Naubise Tunnel. However, implementation is still limited, with toll collection currently active on only a few routes. Preparations are underway to expand the system to additional road sections, according to the Road Board Nepal.
