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 Earlier, on Monday and Tuesday, 30 billion rupees were withdrawn from the market through Rashtra Bank bonds, but since the liquidity remained high, additional deposit collection tools were used.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

Asset confiscation, bank account freezing and foreign travel ban if the co-operative fund is not returned

Kathmandu. To make the cooperative sector more orderly, transparent and accountable, the government has brought forward a new process through the bill. The government passed the Cooperatives First Amendment Bill, 2083 in the House of Representativ...

Why did those who protested yesterday take a loan today?

Kathmandu. CPN-UML General Secretary Shankar Pokharel has raised questions regarding the current government's duplicitous nature regarding foreign loans. He says that those who criticized foreign loans in the past are now taking large amounts of l...

Hydropower projects in Myagdi were affected by flood and landslides, production of 20 megawatts of electricity was stopped

Myagdi. Due to floods and landslides, the work of the hydropower project under construction in Myagdi has been affected, while the power generation from two projects that are in operation has stopped. The projects of Dhawalagiri, Annapurna and Mal...