New Delhi, July 26 -- Nepal has lifted a nearly 10-year-old restriction on Indian currency by allowing Indian and Nepalese nationals to carry Indian Rs.200 and redesigned Rs.500 notes into and out of the country. The decision ends a rule introduced after India's 2016 demonetisation, when only Indian currency notes of up to Rs.100 denomination were permitted.

In a notice reissued on Thursday, the Nepal Rastra Bank (NRB) said Indian and Nepalese citizens can now carry Indian Rs.200 and Rs.500 notes issued on or after November 9, 2016, subject to the existing limit of Rs.25,000 per person under current regulations.

Although the provision had already been notified through the Nepal Gazette on February 11 after the required regulations were ...