This report presents product concepts that will help financial service providers (FSPs) that wish to launch digital financial services (DFS) in Nepal adopt a product suite strategy and develop DFS products for Central and Eastern Nepal.

Nepal has five development regions: Far-Western, Mid-Western, Western, Central and Eastern. This report focuses on the Central and Eastern development regions. There is an advantage in looking at the Central and Eastern regions separately from the Western regions as the Central and Eastern regions are marked by higher levels of economic activity in terms of both business and agriculture. The Central and Eastern regions are further differentiated by three ecological zones: Mountains, Hills and Terai. This report focuses on the Hills and Terai as they have a higher density of population, greater presence of FSPs, and comparatively better infrastructure as compared to the Mountains. The authors of this report believe FSPs will be able to address the financial needs in the Mountains once they have successfully proliferated in Hills and Terai.