What is the currency of Nepal?

The currency of Nepal is the Nepalese rupee.

The Nepalese rupee is Nepal’s official currency and legal tender. It is issued and regulated by Nepal Rastra Bank, the country’s central bank, and its ISO 4217 code is NPR. The rupee is divided into 100 paisa, although low-value paisa coins are rarely encountered in everyday transactions.

Nepal introduced the rupee in 1932, replacing the silver-based Nepalese mohar at a rate of two mohars for one rupee. The currency has a long monetary connection with India, and since 1994 it has been officially pegged at 1 Indian rupee = 1.60 Nepalese rupees.

The Indian rupee is therefore an important neighbouring currency, but it is not Nepal’s official answer. Nepalese banknotes and coins are distinct, and Nepal Rastra Bank controls their issue. The Sri Lankan rupee and Bhutanese ngultrum are separate national currencies from nearby South Asian countries.