Infrastructure is necessary for the successful implementation of electronic payments. Proper Infrastructure for electronic payments is a challenge.
For electronic payments to be successful there is the need to have reliable and cost effective infrastructure that can be accessed by majority of the population.
Electronic payments communication infrastructure includes computer network. Such as the internet and mobile network used for mobile phone.
In addition, banking activities and operations need to be automated. A network that links banks and other financial institutions for clearing and payment confirmation is a pre-requisite for electronic payment systems. mobile network and Internet are readily available in the developed world and users usually do not have problems with communication infrastructure.
In developing countries, many of the rural areas are unbanked and lack access to critical infrastructure that drives electronic payments.
Some of the debit cards technologies like Automated Teller Machines (ATMs) are still seen by many as unreliable for financial transactions as stories told by people suggested that they could lose their money through fraudulent deductions, debits and other lapses for which the technology had been associated with by many over the last few years.
Telecommunication and electricity are not available throughout the country, which negatively affect the development of e-payments. The development of information and communication technology is a major challenge for e-payments development. Since ICT is in its infant stages in Nepal, the country faces difficulty promoting e-payment development.