Banks See Surge in Account Activations as Government Plans to Transfer Inactive Funds to State Treasury

The Nepalese government is preparing to transfer funds from bank accounts inactive for over 10 years to the state treasury, prompting a nationwide rush to reactivate dormant accounts. Nepal Rastra Bank reports significant amounts in these accounts, including inquiries from Nepalis abroad. While current laws allow such funds to be moved to the 'Banking Development Fund' after due process, legal amendments are needed for government implementation. This move directly affects individuals who may have forgotten old accounts but still hold valuable balances, making it crucial for investors to review their finances. Reactivating dormant accounts not only prevents fund forfeiture but also helps the government secure unclaimed money for developmental projects.

• Inactive bank accounts with over 10 years balance risk state takeover; a surge in reactivations is underway nationwide.