The bank urged the BFIs through a directive issued recently not to keep promoter shares more than 15 per cent. [break]
Similarly, the NRB urged the investors not to invest more than one per cent in the BFIs. Earlier, in 2065 BS, The NRB directed to limit their promoters´ shares to 15 per cent and investment to one per cent of the total investment in the BFIs.
The central bank had directed the banks and financial institutions which had more than 15 per cent of shares to make arrangements for selling procedures within one year of being relieved of the posts, as it cannot be sold as a member of the board of the bank and financial institution.
The NRB has also urged to provide information on the process by October 17. The NRB has made efforts to make the financial institutions free of risk with an objective of making the share market stable.
Some deposits had been without return and some institutions were dissolved in the past as financial discipline was not maintained by the chiefs of the banks and institutions which had made large investments.
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