KATHMANDU, April 13: The High-Level Economic Reforms Advisory Commission has advised the government to maintain stable interest rates for the productive sector businesses. The commission headed by former Finance Secretary Rameshwar Khanal has said that the productive sector loans could rise provided the lending rate is maintained at a single digit for a number of sensitive areas and primary sectors.
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Revised interest rate corridor system introduced
There are contradictions in the rules implemented by Nepal Rastra Bank (NRB) regarding productive sector loans. While one of the NRB’s provisions talks on permitting banks to issue loans at a stable interest rate, another provision has barred them from providing loans at the rate below the base interest rate.