KATHMANDU, Dec 20: Nepal Rastra Bank (NRB) has decided to invest Rs 1.20 billion from the Employees’ Security Fund in banks and financial institutions (BFIs).
Issuing a public notice, the central bank has invited banks and financial institutions to submit applications by 22 December, proposing the amount they seek to deposit along with the interest rate on fixed deposits.
Revised interest rate corridor system introduced
According to the notice, NRB plans to invest Rs 960 million in Class A commercial banks, Rs 180 million in Class B development banks, and Rs 60 million in Class C finance companies.
Eligible institutions must have been in operation for at least two years, maintain the minimum required capital adequacy ratio, keep the credit-to-deposit ratio within eight percent, and ensure that the net non-performing loan ratio does not exceed three percent, among other conditions.
