Nepal Rastra Bank (NRB) has significantly relaxed its banking rules related to the National Identity Card, announcing that bank accounts will no longer be frozen solely because customers do not possess a National ID. The revised directive comes after concerns that the previous mandatory requirement had created difficulties for people in rural areas, senior citizens, persons with disabilities, and others who had not yet obtained the card.

The revised provisions were introduced through a unified circular issued by the central bank on Wednesday (July 16, 2026 / Ashadh 31, 2083).

Under the new directive, customers will only need to submit a self-declaration through their bank's mobile application or another approved channel confirming whether they possess a National Identity Card. This declaration must be completed by mid-October 2026 (end of Ashwin 2083), eliminating the immediate requirement to present the physical card.

For Nepali citizens who have not yet received a National Identity Card, banks are now required to send KYC update reminders every six months through mobile applications or other digital communication channels. Importantly, the absence of a National Identity Card alone will not be grounds for freezing or restricting bank accounts.

NRB has also eased requirements for Nepalis living abroad, allowing them to open bank accounts online without first obtaining a National Identity Card. They will only be required to submit the necessary identification details within 35 days after returning to Nepal.

In addition, individuals who are unable to care for themselves, persons with disabilities, vulnerable citizens, and children below the age of 16 will be allowed to open and operate bank accounts using other valid government-issued identification documents instead of a National Identity Card.

The revised policy is expected to improve financial inclusion, ensure uninterrupted access to banking services, and reduce practical barriers faced by citizens who have yet to receive their National Identity Cards.