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2024 Foreign Exchange Limits for Nepali Students: What You Need to Know
21 Aug, 2024

2024 Foreign Exchange Limits for Nepali Students: What You Need to Know

Introduction

Studying abroad is a significant milestone for many Nepali students. To maximize this opportunity, it's essential to understand the foreign exchange facilities provided by the banks of Nepal complying with Nepal Rastra Bank (NRB). This guide provides detailed information on the latest updates to help you manage your finances effectively.

Understanding Foreign Exchange Facilities

  • Eligibility: Foreign exchange facilities for study-related expenses are available only after confirming that the student is either preparing to study abroad or is already studying.
  • Payments:
    • Tuition Fees: Payments for tuition should be made directly to the foreign educational institution using banking instruments.
    • Insurance Fees: If insurance fees are required, they must be paid either through the insurance company’s registered agent in Nepal or directly to the institution using banking instruments. If no registered agent is available or if the institution requests direct payment, students may pay directly to the insurance company or its agent.
  • Tuition Fee Support:
    • Partial Tuition Fees: Up to 50% of the annual fee can be provided within six months, either as a lump sum or in installments, if partial tuition fees are shown to be paid.
    • Full Scholarships: If a student provides documents proving they have a full scholarship, no tuition fee payment is necessary. For partial scholarships, the total fee, as per the institution’s conditions, must be paid within the specified time.

Latest Foreign Exchange Limits for Nepali Students (2024)

The NRB has revised the foreign exchange limits to better support students. Here’s a breakdown:

  • Australia, America, Canada, and European Countries: Up to $12,000 annually
  • Bangladesh and Pakistan: Up to $2,500 annually
  • China, Malaysia, Thailand, and the Philippines: Up to $4,000 annually
  • Singapore and South Korea: Up to $6,000 annually
  • Other Countries: Up to $5,000 annually

For further details on managing these expenses, check Saral Banking Sewa’s Deposit Account Types.

How to Obtain Foreign Exchange

To access foreign exchange facilities, provide the following documents to your bank:

  • Application Form
  • Copy of Passport
  • No Objection Certificate
  • Visa-Related Documentation
  • Document Confirming the Requested Currency Amount
  • Self-Declaration for Refund if Visa Denied

Banks will process your currency exchange within the specified limits. Utilize Saral Banking Sewa’s financial tools for comprehensive details on loans, education loans, interest calculations, and eligibility.

Understanding the 3% Education Service Fee

The Government of Nepal imposes a 3% education service fee on the total foreign exchange amount. This fee covers educational expenses, including tuition and accommodation. Consider exploring various loan options on our platform to manage these costs more effectively.

Conclusion

Staying informed about NRB's foreign exchange regulations is crucial for Nepali students studying abroad. By following these guidelines and ensuring all required documentation is in place, you can concentrate on your studies without financial concerns. For more advice on managing finances while studying overseas, visit our Saral Banking Sewa blog.

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