More liquidity in the banking system, with the National Bank drawing a trillion rupees from the market

Kathmandu. Nepal Rastra Bank is going to issue a 91-day deposit collection tool worth one trillion rupees on Wednesday to manage the continuously increasing excess liquidity in the banking system. Since the last few months, there is more than enough cash balance in the system, which has increased the pressure in the market to reduce the interest rate. In order to balance it, the central bank has taken forward the policy of re-absorbing liquidity.

According to Rashtra Bank, there is about 82 billion rupees excess liquidity in the financial system as of Tuesday. Earlier, on Monday and Tuesday, 30 billion rupees were withdrawn from the market through Rashtra Bank bonds, but since the liquidity remained high, additional deposit collection tools were used. According to the National Bank, since the old deposit collection and permanent deposit facility funds have matured and returned to the banking system, the liquidity pressure has increased, so this time, a larger amount has been called for than the excess liquidity seen in the system.

Express

Related News

New Government Still Relies on Foreign Loans Instead of Collecting Revenue

By Anusa Thapa

Bhaktapur, Nepal — The courts issue orders, but the government fails to implement them. This reality is clearly reflected in the government's inability to collect taxes and revenues despite repeated court directives.

Cou...

4.28 points decline in NEPSE, turnover of 4 billion 71 crores