The current silver coin in Nepal is the mohar, two of which go
to the Mohri rupee. The intrinsic value of the mohar is 6 annas
8 pies of British Indian currency. The Mohri rupee is chiefly used
as a matter of account, its minor denominations being as follows:-
4 dams = r pice ; 4 pice = r anna ; 16 annas = r Mohri rupee.
The copper coins in common use are pice, which are struck at the
mint in Katmandu. These are circular and fairly well stamped: r 17
go to the Indian rupee. In addition, there are the Butwali or Gorakh-
puri, and the Lohiya, pice : these are squarish lumps of purified copper,
roughly cut by hand, of which about 75 go to the Indian rupee. In
Katmandu Indian currency notes are highly prized as a means of
remittance, usually fetching a premium varying from 3 to 5 per cent.
Indian coinage is accepted throughout the country.
The standing army of Nepal is estimated at about 45,000 men,
including a,5oo artillery. The rest are infantry, composed of regulars
and militia, but there is also a large reserve force. The original period
of service, which is voluntary, extends to three years, after which the
men can either elect to serve on or enter the reserve. The army is
chiefly recruited from the Thakurs, Khas, Magars, Gurungs, and
Limbus. The Newars are not allowed to bear arms, though many are
enlisted in the cooly corps attached to each regiment and included
among the non-combatants. In times of danger every able-bodied man
is liable to be called out for service. The troops are armed with
a certain number of Martini-Henry rifles, many of them of local manu-
facture, but chiefly with old Snider and Enfield rifles. The Com-
mander-in-Chief of the army is always the next eldest brother of the
Minister. In the same way the other high posts are filled, not by men
who have risen in the army or who are selected for their military know-
ledge, but by brothers and sons of the Minister, many of whom are
mere youths. An arsenal has been constructed a few miles to the east
of Katmandu, which has largely or entirely supplanted the former
arsenal at Nikkoo. Reliable statistics are unobtainable regarding the
work carried out in the arsenal, nor is it open to ordinary inspection.
But from the size of the buildings, the abundant water-power, and
the facilities for importing skilled labour, there is no reason why the
manufacture of modern armaments should not be carried on to a
considerable degree, although this would of course be regulated by
the general understanding existing between the Nepal State and the
Government of India.
The State offers no educational advantages to the masses. Only
one school is maintained, which is affiliated to the Calcutta University
and exists chiefly for the sons of well-to-do parents. Students are,
however, sent by the State from time to time to receive a course of
instruction at one of the Engineering colleges in India.