KATHMANDU, June 24: The Nepal Rastra Bank has announced plans to absorb Rs 70 billion from the banking system for 79 days through a bidding process as part of its liquidity management measures.
The central bank has invited proposals from banks and financial institutions for the liquidity absorption operation. The online auction is scheduled for 3:00 pm on Wednesday.
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According to the NRB, both the principal amount and accrued interest will be repaid on September 11, 2026.
The central bank has been using deposit collection instruments to withdraw excess liquidity from the financial system. Around Rs 700 billion previously absorbed through such instruments is yet to mature.
