Business

NRB unveils first quarter review of monetary policy

KathmanduPati December 08, 2023

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KATHMANDU – The Nepal Rastra Bank (NRB) has unveiled the first quarterly review of the monetary policy for the current fiscal year. The release of the review followed its endorsement by today’s meeting of the NRB Board of Directors.

Presenting an analysis of various factors influencing the prevailing inflation, the NRB, through the review, has reduced the bank rates from 7.5 percent to 7 percent, considering the current status of the Balance of Payment and the growth rate of bank loans to the private sector. Similarly, policy rates have been maintained at 5.5 percent against the previous 6.5 percent.

The provisions regarding mandatory cash reserve ratios and statutory liquidity ratios have remained unchanged. As for the provision of counting debentures issued by banks and financial institutions 100 percent as a source until December-January, it has been decided to count them 50 percent as a resource until the end of the current fiscal year.