Have your phone been ringing with this message from Nepal Telecom? This message is sent to your phone to let you know your device is registered in MDMS system.

Finally, the most awaited Mobile Device Management System (MDMS) has hit the floor in Nepal. As of Bhadra 30, 2079 Nepal Telecommunication Authority have finally deployed the MDMS system in Nepal after years of anticipation. According to the sources, this is still somewhat of a soft launch, and MDMS will be put into use fully during the next two to three months. The critical problem of grey smartphone imports is efficiently resolved by this method, which also makes it simple to locate lost or stolen devices.

Mobile Device Management System (MDMS) in Nepal

The Department of Customs reports that during the most recent fiscal year, which concluded in mid-July, mobile phone imports climbed by 10.75 percent to Rs40.89 billion. In the most recent fiscal year, 5.76 million phones were imported into Nepal.

Traders claim that the import statistic is significant since roughly 50% of phone sets are brought in illegitimately and tax-free.

The announcement of MDMS was made public through a statement published by the Nepal Telecommunication Authority. The NTA, MPIA, NMDA, and other relevant authorities were also present when the occurrence took place. It was once suggested to begin implementation in Jestha 2078. It was delayed, nevertheless, because to the second Covid wave and other factors. But now, after a long wait, it has arrived.

You must realize that phones that are not registered with the NTA will not be allowed to be used in the nation. All new phones that enter the nation will be subject to this. However, if this applies to outdated phones, you don’t need to worry because they will automatically register.

For a quite long time, the buy and sell of mobile phones from grey market have increased immensely in Nepal.  The grey market basically is the distribution of the official goods via unofficial channels. This includes the phones that are stolen from abroad, bulk purchased phones for personal use and those that have not received NTA ‘Type Approval’. The phones bought through this way have also led to various minor and major crimes. This has resulted the official importers to experience a loss of business and the government to miss out on potential money.

The NTA originally made IMEI registration necessary in order to solve this issue. And for the same goal, MDMS has now being implemented in Nepal. Even the retail seller will have to sell and import the mobile phones that are registered in MDMS. According to the chairperson of Nepal Telecommunication Authority, the implementation of MDMS system in Nepal will reduce the sales of phone without bills and warranty. Moreover, the grey market will also shut down completely after full operation of MDMS system in Nepal.

What is MDMS?

A higher-level monitoring system known as MDMS (Mobile Device Management system) is used to manage and operate mobile devices on a comprehensive level, including PCs, tablet PCs, smartphones, point-of-sale systems, and other devices. It is software that helps in managing and enforcing rules or policies on many kinds of devices for device fleet operators.

The system will be connected to the Equipment Identity Register, a database that includes both permitted and prohibited mobile gadgets in the country. The method is also anticipated to spot fake, inexpensive copies of branded phones that have fabricated registration numbers.

Four years ago, when the Mobile Device Management System Bylaws 2018 were published, the telecom regulatory body began taking steps to establish the system. The telecom regulator’s strategy entails establishing a data center where the private information of mobile phone owners registered on the network of Nepal’s three telecom operators would be kept.

Consequences of MDMS system in Nepal

The reduction in unofficial sales of phones is guaranteed after the implementation of MDMS system in Nepal. But what are the other consequences that will be faced after implementation of MDMS in Nepal?

These are some of the major consequence that can occur after deployment of MDMS system in Nepal.

• All Nepali carrier networks (NTC, Ncell, Smart) would restrict access to any phones that are not registered with NTA (illegal/grey imports).
• This means that besides using the other features of phone, such as connecting to WiFi and streaming films, you won’t be able to make or receive phone calls or send or receive texts.
• Besides cellular connectivity you will be able to access all the other feature.
• Additionally, you won’t be able to call the police if you lose one of these phones. On the other hand, if your lost or stolen phones are registered under MDMS, Nepal Police and other relevant agencies can assist you in tracking them down.

Mobile phones imported by authorized wholesalers are automatically registered under MDMS, according to the NTA’s official announcement. NTA have been sending out SMS regarding the registration in all the devices. Even though personal use phones are subject to the system, they haven’t gotten the SMS, according to the NTA’s own statement. Perhaps that’s going to happen soon.

How to check of your device is registered under MDMS or not?

In order to check if your phone is registered in MDMS, head over to “mdms.nta.gov.np”. There are two input areas there: one to test if your current phone or phones are registered in the system, and the other to see if the phone you’re intending to buy has been recorded into MDMS or not.

As of the time this post was being written, we can confirm that unregistered phones are currently operating without a hitch including SMS, mobile data, phone calls, and everything. However, the NTA warns that unless they are individually registered, such phones would be removed from the network of Nepali carriers in two months.

• In order to enroll your phone in database. Click here. Additionally, you must attach a JPG or PDF file of your citizenship or another valid ID card that is less than 1MB in size. The system will also accept a valid passport or visa in the case of foreigners.
• You’ll get an email acknowledging your request for IMEI registration after submitting the application.
• NTA will either reject or approve your application after completing the background investigation and application verification.
• And to check if your phone has been accepted into MDMS, you can visit the same link as above.

As of right now, it appears that NTA is not charging you any money to register your phone with the system. And it begs the question of whether grey imports may be instantly registered in MDMS. Perhaps there is a limit to the number of phones that one person can register; the system itself is not perfect.

For the time being, the system’s precise modality is unclear. In order to prevent grey imports in all feasible ways, we thus expect that NTA will be more open about how MDMS functions.

What led to the implementation of the Mobile Device Management System (MDMS) in Nepal?

This project was first started in 2018, and it was put out to bid to Namaste Global Communications, OSI Consultancy, and Numera SDN. BHD (Singapore). This system’s construction is expected to cost little over 7 million USD. This system will only accept imports that have adhered to due diligence and permit their functioning, as is to be expected.

All authorized smartphone importers and distributors will register their products with MDMS. However, any national telecom operator’s network would be effectively blocked by illegally imported devices. The parties engaging in such acts will also be subjected to legal action as stated by the current rule.

The Mobile Device Management System also enables you to trace your device in the event of loss or theft. Overall, the launch of MDMS is a welcome development for the Nepalese smartphone industry. Not only will it benefit the distributors and others, but the final consumers will also benefit greatly.

Currently, importers of mobile devices must pay a 13% VAT and a 5% excise charge. Additionally, this year, the government cut the VAT return portion to 0%. As a result, it is not unexpected that cellphones purchased on the black market are inexpensive because both fees are virtually eliminated.

Is your phone registered in MDMS? Do check and register as soon as possible. You will be benefitted a lot from the registration in MDMS system in Nepal.

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