Stupid decision by Nepal Rastra Bank

According to news Nepal Rastra Bank has just issued a circular that from now onwards the Banking and Financial Institutions should track the sender information of any remittance inflow into the country upward of Rs 75000 that is 750USD. This so called rule is being introduced supposedly to curb the money laundering activities that might provide for the terrorist act or other  incendiary activities. No matter what the reason is, it is perhaps the most stupidest and illogical  decision that NRB has made in recent times.  And following reasons simply underscore why so

i) Remittance make up about  25% of Nepal's GDP and to make the process stringent will simply discourage the free flow of capital into the country through legal means.

ii) The entire crux of curbing terrorist act from money coming to BFI from foreign countries is totally counter intuitive , since no terrorist organization will ever be wiring money in legal way.

iii) This will further encourage people to rely on illicit means such as Hundi to carry out their transaction. As a result the country's revenue from remittance will be drastically affected and will ultimately affect the Balance of Payment situation.

iv) Since the money thus arriving will have no legal source , it can't be used in investment and hence will be spent for unproductive activities of consumption and import. This increase in  marginal propensity of consumption and import will increase the inflationary pressure . Thus putting the already bleeding economy into further doldrums.