Customs Declaration on Arrival

Since I've been here, I often hear the question: How much cash can foreigners bring into Nepal? To answer that question, I refer them to the following link's valuable information, for guidance purposes:

                                            TRIBHUVAN INTERNATIONAL AIRPORT
                                            www.tiairport.com.np/page/custom-declaration
with paragraph headed: CUSTOMS DECLARATION ON ARRIVAL FOR FOREIGN NATIONALS

Very possible that most foreigners are aware of the requirements set out therein, section "Information"  but there is always the possibility that some foreigners might not, and here, paragraph 3, could not be clearer when it is says:

ON ARRIVAL

3. Travellers are requested to declare foreign currency at red channel if the sum exceeds US$2000 or equivalent

Reason I mention it is because one cannot or should not underestimate the importance of those formalities. Not so long ago, a friend of a friend (a foreigner, first time visitor to Nepal)
1. arrived at TIA airport here and in his case, seemingly and reportedly unaware of these nepali rules and regulations.
2. carrying alleged clean money from private/own family sources
3. made the mistake apparently of taking the GREEN nothing to declare CHANNEL (instead of the RED CHANNEL**)
4. As a result, person was then understandably detained and questioned at the airport by officials there.
5. reportedly sent to Kathmandu jail for several days on grounds this person did not report the foreign currency amount as he should have
6. since then, subsequently released from prison on the firm understanding person in question had to return from his country of origin to face legal proceedings here. No lawyer myself, but more than likely a violation of existing often quoted Foreign Exchange Act and regulations?
7. in the meantime, it is my understanding that the "undeclared sum" or amount over the US$2000 limit was confiscated here by the authorities, pending the outcome of said proceedings. Hopefully, since then, the case will have been resolved.

** Nepalis are very clear on this: Use RED CHANNEL, and declare they advise, whenever a passenger is or may be in any doubt about any possible "dutiable or non dutiable" items.

ON DEPARTURE
And this is my main point here, after foreigners have enjoyed their stay in Nepal and obviously spent money to cover their expenses while here - assuming they did use the RED CHANNEL on arrival - they can just and quite simply produce or show if asked, the Declaration they will have made to Customs when coming into Nepal and have no trouble...to prove they are leaving the country's airport with a smaller amount of those dollars or equivalent in their pocket than when they arrived!

Note:  if you are in any doubt about the above, rely exclusively/solely on the advice of your legal person or other advisor and/or check with the Embassy or Consulate of your country.

For information and guidance only, but certainly well worth keeping in mind. And here I am thinking most particularly of foreigners who may not necessarily have a complete command of the english language, nor possess enough facts and information about this country, especially knowledge in advance of strict Customs Rules and Regulations  which are in full force here and WILL BE FULLY BINDING ON THEM. As they say, ignorance of the law is no excuse. This is the reason for this posting - a Public Service -

Jl1234, thanks so much for posting this. It's so important to know these things.

What if you arrive with a small amount, but get a sum of money from the West to make the amount as you leave bigger? Like if you planned to bring pashmina back to sell in your home country but then changed your mind? Would the ATM receipts, etc. be enough or should such a person expect some sort of red tape/harassment at the airport?

In a few words, how can tourists and visitors to Nepal possibly know or be expected to know, about the existence of these foreign exchange laws and rules on their arrival in Nepal? I don't think any of my friends or acquaintances declare and I am willing to bet the majority of tourists and visitors who go to Nepal on a holiday or to trek - and to spend their dollars there - are uninformed and will take the green lane without thinking, unaware of any possible US$2000 limit. 
The mere thought of being detained and sent to a smelly nepali jail for alleged violations just sends shivers in my spine. Are these rules and regulations all posted not only in nepali (which most foreigners cannot read) but more importantly in french, or russian or other foreign languages well posted and displayed or disseminated in writing so the public is fully warned in advance or informed on arrival? I know there is a form to fill out but is the US$2000 limit mentioned on it?  I really doubt it myself.

No one should ever walk around with more than $2,000 in their pocket in cash, especially while traveling. There are ATM lounges all over Kathmandu and Pokhara, money changers and many places take Visa/MC. Room prices start at $5 and you can get a meal at a modern, clean restaurant for about $5  with meat or local places from 50 cents. You can live nicely for well under $1,000  a month.

There is only one reason to carry that much cash-illegal activity. The police work very hard to keep Nepal from being a hub of drug trafficking.

Different people will have different needs in their foreign travels. 
Not all the budgets are the same.
Some will spend more, some will spend less.
The exact amount of cash travelers take with them is a matter of personal choice, convenience also.
Likewise, out of the lot, some travelers may well wish to avoid ATM charges.   
How to believe that a run of the mill tourist or visitor to Nepal who arrives at Ktm airport with, say $2500 in cash  (or $500 over the limit) should be assumed to be "cash illegal or into drug trafficking" without proof? Like they say, innocent until proven guilty!!
I think next time, I'll head to Thailand for a change, which as everyone knows receives something like 29 million visitors each year versus Nepal which has yet to reach the 1 million mark in their history of total tourist arrivals.
In Thailand, I read travelers can legally bring in a maximum of $20,000 in cash in their pocket (which is 10 times more than Nepal)  - Even India's maximum is currently $10,000 (i.e.5 times more) with no problems there, under prevailing existing rules and regulations in those two countries.
I will of course continue to visit my beloved Nepal, but sometimes I wonder!!

bienfrancaise, the rule doesn't prevent you to bring 20000$ or 100000$ in Nepal if you like, it says that your have to declare it while entering the country. There is no limit, so I don't see any problem actually ...

The government of Nepal takes hospitality of tourism very seriously. I  think part of the thing is the burden it puts on the police. Yes, you are just a normal tourist who likes to throw money around like it's water. But you are more likely here to do an illegal transaction, so if you are just a very rich tourist who likes to waste money come on to Nepal. But please register it with the authorities to protect yourself and to help the Nepal government protect you. If you register the money and then something happens-maybe you get cheated by the pashmina salesman you came to do business with. No problem. You can go to the Tourist Police and they will provide you with such kindess, a person who speaks English, a ride if you are stuck, the legitimacy of the transaction, protection if the man cheats you and whatever you need. I've seen them intercede for tourists and the Nepali cheater go running.

Thailand is great if you like a hot, tropical climate, but I haven't heard a lot of good things about the police. In fact, there seems to be a lot of corruption upon tourists by the police there that isn't in Nepal- as a normal thing.

No issue there with NICO4380. For people with deep pockets to stuff mountains of banknotes into, the sky is the limit!  It only implies that those rare birds will all necessarily be using the customs' RED LINE as required by law, to declare all that cash instead of using more logically Wire Transfer or Western Union, which would make considerably more sense, especially for the kind of top dollar figures you are quoting.
On a more down to earth and serious note, that is precisely what apparently this other ill-advised or maybe misinformed foreign traveler failed to do for whatever reasons - details of which you can read in jl1234's most informative and useful posting here on 15/08/2017 - when the person in question mistakenly or not knowingly,(?) took the GREEN LANE on ARRIVAL and as a result  was detained ON DEPARTURE FROM THE AIRPORT by authorities and subsequently jailed and prosecuted.
So this is serious stuff and all of us foreigners - especially those who unlike you have never been to Nepal and have no reason to necessarily be familiar with all prevailing rules and regulations before they arrive here -  have every reason to be most grateful to jl1234 for bringing all those legalities to light, educating us really.
I am not a legal person but I do feel this legal awareness information is vital here.  The more information the public has knowledge of, the better off they are, in the hope that incidents like that can be avoided in the future.

Not the least bit surprised by the $100,000 figure NICO4380 put out there. It's not far fetched. Check the April 10, 2017 Ekantipur news headline reading "Nepal Airlines captain nabbed with undeclared USD93,000 from TIA airport".  That figure is close enough. But that time, it was a nepali.
From the same source, Ekantipur, maybe a week or so later, we learn that TIA employs 12,000 people in 3 shifts, in an airport that was designed to handle 1,340 passengers an hour and is now handling 2,700
That's gotta keep them busy, that is until the Chinese can build a second international airport Pokhara way, I believe, but that won't be for another 4 or 5 more years, following delays. And so it goes!

2000 USD dont buy much in a western country, while I respect the police wish to curb illegal dealings but what if people want to do helicopter rides and other big ticket adventure stuff?

There are many options besides cash to spend / access your money.
- Go to a bank counter, and ask for a cash advance on your credit card. Your credit card limit is the limit of money you can get.
- Open a bank account and transfer your money by wire transfer or SWIFT transfer. Withdraw whatever you need with your ATM card or cheque book.
- Use a Western Union or EMU transfer and collect your money from any of their counters.

And for paying your helicopter ride, well, the company will be able to tell you which forms of payment they can accept. For sure they will have set up a way in which you can pay for your ride, other then a cash payment. They might directly be able to accept your credit card, or you might be able to pay their invoice by an international bank transfer (SWIFT or wire transfer) from your home country.