April 7: Nepal Rastra Bank (NRB) has decided to allow families of students studying abroad to make foreign exchange equivalent to USD 500 without ‘No Objection Certificate’ (NOC).

The government has directed the central bank to provide the exchange facility without NOC to the families of students enrolled in foreign university abroad.

The government took such initiative to help the families to support the expenses of their children studying abroad.

Previously, family members and relatives of students enrolled abroad had to submit the NOC mandatorily to the banks for the foreign exchange. 

The central bank has directed banks and financial institutions to avail foreign exchange facility to the families in need without any NOC.

With the new provision, parents can now send the student a maximum of USD 500 or equivalent worth of foreign currency at a time without any hassles.

Currently, students enrolled abroad are facing financial problems due to the lockdown to contain the coronavirus pandemic.

A meeting of the Council of Ministers took such decision to ease the financial burden of Nepali students studying abroad.

NRB had earlier made arrangement for the exchange of foreign currency to pay tuition fees and for subsistence in favor of students studying in countries other than India.

However, NOC is now not required but the parents will need to submit all the other required documents for making the foreign exchange.