Can I use Alipay and WeChat to pay in Nepal? What should I do if I cannot use it?

The convenience of mobile payment is undeniable, but mobile payment will cause the loss of national income. Have you ever thought about this?No, Nepal bans itAlipay和WeChat payment, claiming that the country has lost overseas income because of these Alipays, what do you think about this?Let's take a look at what happened below!

Alipay and WeChat payment app banned in Nepal?

According to the website of Nepal's Himalayan Times (Himalaya Times), the Central Bank of Nepal (Nepal Rastra Bank) Nepal today announced a ban on the use of WeChat Pay and Alipay, claiming that Chinese tourists are using these payment applications illegally and the country is losing overseas revenue.

Most Chinese visitors to Nepal use WeChat Pay and Alipay, and Chinese nationals who run hotels, restaurants, etc. in Nepal often use these payment apps.

Therefore, when Chinese visitors enter the stores opened by these compatriots in Nepal, they will choose to pay using Chinese payment apps.These Chinese digital wallets are not registered with Nepal, which means that although the service takes place in Nepal, the actual payment takes place in China.

Nepal bans domestic payments on WeChat and Alipay due to loss of overseas income

In this way, Nepalese authorities cannot register spending Chinese tourists as overseas income because the money is not actually Nepali through the bank channel.

Furthermore, it also means that Chinese merchants can earn income without paying taxes, as Nepalese authorities cannot prove that these transactions actually take place in their own country.

"These activities are illegal. Therefore, we have decided to ban the use of these apps in Nepal," an NRB spokesperson told The Himalaya Times. "If anyone finds out that Chinese payment applications are being used, we will immediately initiate a criminal investigation."

The Himalayan Times was the first to report it on April 4.

At the time, the central bank said it was looking for a viable way to legalize the use of these numbers into Nepalese wallets, as China is also the country's second-largest foreign source of tourists and most visitors prefer to use these payment apps.

Foreign payment companies should register their business locally

"We know that most Chinese people use WeChat Pay and Alipay. However, foreign companies that provide payment-related services in Nepal should register their businesses locally. If they are not registered, these Chinese corporate services need to register companies in Nepal," the spokesperson said. arrive.

Ant Financial respondsAlipay banned in Nepal

Regarding the practice of the Central Bank of Nepal, Ant Financial responded:

• Alipay's overseas business has always followed local laws and regulations, and it also calls on many users to standardize the use of QR code payment services in accordance with the "Alipay Money Collection Code Agreement".
• Alipay has taken measures to strengthen the prevention of the use of QR codes in foreign countries, and it has produced certain results.
• In addition, we reserve the right to investigate those who use the service in violation of regulations.

The following are the relevant terms of the "Alipay Money Collection Code Agreement", including:

Article XNUMX Your rights and obligations
(XNUMX) When you use this service, you must abide by the relevant business regulations of each bank at the same time.
(XNUMX) You agree to use this service only within the territory of the People's Republic of China (excluding Hong Kong, Macau and Taiwan).
Article XNUMX Alipay's rights and obligations
(XNUMX) If it is found that the information you have filled in is untrue, or that your use of the "Cash Code Service" violates relevant national laws, regulations, rules, or violates this agreement or Alipay rules, or violates the rights and interests of other third parties, Alipay has The right to ask you to provide relevant materials to explain or directly make processing including but not limited to suspending, suspending, terminating processing or stopping payment of relevant payments.

At least two companies have expressed interest in acting as intermediaries, according to an NRB official who asked not to be named.Once these intermediaries are approved, payments made through WeChat and Alipay will flow through Nepali banks through the operations of the intermediaries, helping Nepalese authorities register these purchases as overseas income.

Illicit payments still difficult to rule out

But since these applications support peer-to-peer transactions, even with the involvement of middlemen, illegal payment activities are difficult to rule out.Chinese Nepalese visitors and Chinese merchants can always bypass the middleman to pay.

According to experts in the field of digital payments, this illegal activity can only be effectively stopped when Chinese payment companies deploy geofencing technology to track whether Chinese citizens are paying using legitimate channels.

What do you think of this?

Seeing this, what is your opinion on Nepal's ban on Alipay and WeChat payment?