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ECONOMY

Rs 200 million limit on share mortgage loans abolished

KATHMANDU, July 26: Nepal Rastra Bank (NRB) has introduced flexibility in share mortgage loans by abolishing the previous Rs 200 million limit. Governor Maha Prasad Adhikari announced this change as part of the new monetary policy on Friday.
By Republica

KATHMANDU, July 26: Nepal Rastra Bank (NRB) has introduced flexibility in share mortgage loans by abolishing the previous Rs 200 million limit. Governor Maha Prasad Adhikari announced this change as part of the new monetary policy on Friday.


The new monetary policy outlines that the NRB has approved 34 securities brokerage companies to promote margin trading, aiming to gradually reduce the direct loan investments from banks and financial institutions in the securities market.


Related story

NRB increases share mortgage loan limit to Rs 200 million


The policy also removes the Rs 200 million cap on loans provided by banks and financial institutions for margin trading in share securities. This change addresses issues with smooth and systematic margin trading and is intended to support institutional investors focused on capital market investments.


 

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