Nepal Rastra Bank has directed commercial banks to distribute Rs 100 denomination banknotes through ATMs. The central bank issued the instruction on Monday, asking all commercial banks to ensure that Rs 100 notes are also available through their ATM machines.

According to a letter sent by the Currency Management Department of Nepal Rastra Bank to the Nepal Bankers’ Association, banks and financial institutions have currently been distributing only Rs 1,000 and Rs 50 denomination notes through ATMs.

The decision follows demands from customers for Rs 100 notes to also be made available through ATMs. The measure has been introduced with the upcoming Dashain festival in mind.

Nepal Rastra Bank expects that distributing Rs 100 notes through ATMs will help reduce crowds at banks and financial institutions caused by customers seeking to exchange or obtain smaller denomination notes during the festive season.

The central bank said it had received information from some banks indicating that ATMs could technically be configured to distribute Rs 100 denomination notes.

The arrangement is intended to provide greater convenience to the general public and help manage crowds at banks and financial institutions during the Dashain festival.