Kathmandu, Oct. 9 -- For Suvekshya Bhattarai of Biratnagar, birthdays and festivals such as Raksha Bandhan, Teej, Dashain and Tihar increasingly come with a familiar sound: a notification on her phone announcing that money has arrived in her account.

Rather than sending physical gifts, her siblings living in Nepal and abroad often transfer money directly to her digital wallet or bank account. The gifts are a modern take on dakshina, the money traditionally given to younger family members during festivals and other celebrations.

"I received Rs8,000 in my eSewa wallet on the day of Dashain Tika three years ago. I was surprised all day, wondering where the money had come from," Bhattarai recalled. "That evening, my brother Otshal, who live...