Siddhartha Bank Revises Deposit and Lending Interest Rates

14th June 2026, Kathmandu

Siddhartha Bank Limited has officially published its revised deposit and lending interest rates schedule from its head office in Hattisar Kathmandu.

Siddhartha Bank Interest Rates

The newly updated financial structures are set to take effect from June 15 2026, which corresponds to the 1st day of Ashad 2083 in the local calendar. By deploying this revised pricing model, the bank aims to balance its portfolio yields, offer attractive options for remittance inflows, and establish competitive lending benchmarks for local businesses and industrial borrowers.

Analyzing the New Fixed Deposit Structures for Individual Institutional and Remittance Savers

The updated interest rate matrix sets up distinct yield tiers based on deposit ownership types and the long-term commitment of the funds.

The bank continues to offer a premium return on funds coming from legitimate foreign remittance channels to support national foreign exchange reserves.

The updated local currency fixed deposit yield categories and tenure benchmarks include:

• Individual Fixed Savings Track: Savers committing funds for 3 months to below 1 year will receive 3.00% per annum, while tenures from 1 year to 2 years yield 3.25%, and long term placements exceeding 2 years earn 4.05%.
• Remittance Backed Fixed Portfolios: Accounts funded through official foreign employment channels receive an enhanced return tier, earning 4.00% for 3 months to below 1 year, 4.25% for 1 year to 2 years, and 5.05% for tenures past 2 years.
• Institutional Capital Placements: Corporate and institutional fixed deposits are structured at 2.75% for terms spanning 1 year to 5 years, rising to 3.25% for terms extending above 5 years.
• Specialized Recurring Fixed Deposits: The dedicated Utsav Bachat Account, which operates as a recurring fixed option for individual savers only, features a set return of 3.25% per annum.

Reviewing Savings Account Variations Special Accounts and Call Tiers

The updated retail savings model applies tiered interest returns across diverse domestic consumer savings options while providing higher yields for specialized professional and premium saver lines.

The complete updated schedule of consumer savings accounts features the following annualized yields:

• Siddhartha Sajilo Bachat Khata: 2.75%
• Siddhartha Peacekeeping Savings: 2.75%
• Siddhartha Mero Share Savings Account: 2.75%
• Siddhartha Gen-Z Saving: 2.75%
• Siddhartha Jeevan Surakshya Bachat Khata: 2.75%
• Siddhartha Platinum Saving: 2.75%
• Siddhartha Super Salary: 2.75%
• Siddhartha Mero Share Khata: 2.75%
• Siddhartha Jyestha Nagarik Bachat: 2.75%
• Siddhartha Bachat Account: 2.75%
• Siddhartha Nari Bachat: 2.75%
• Remittance Ranking Account: 2.75%
• Siddhartha Bal Bachat Khata: 2.75%
• Siddhartha Social Security Saving: 2.75%
• Siddhartha Investors Savings Account: 2.75%
• Siddhartha Pay and Save Account (Parents): 2.75%
• Siddhartha Pay and Save Account (Child): 3.00%
• Siddhartha Remit Account: 3.00%
• Siddhartha Platinum Plus Saving Account: 3.05%
• Siddhartha Priority Saving Account: 3.05%
• Siddhartha Professional Account: 3.05%
• Siddhartha Horizon Platinum Saving: 3.05%
• Siddhartha Smart Salary Account: 3.05%
• SBL Premium Remit Saving Account: 4.05%
• Call Deposit (NPR): up to 0.75%

Examining Foreign Currency Asset Placement Frameworks

To facilitate international trade, foreign investment, and balance capital holdings for cross-border depositors, the bank operates a multi currency ledger with unique parameters for individual and institutional clients.

The standard annualized yield settings across prominent foreign currency asset classes include:

• US Dollar Portfolios: 2.50% for Saving Deposits, 3.25% for Fixed Deposits up to 1 year, and 3.00% for Fixed Deposits more than 1 year.
• Euro Currency Accounts: 1.50% for Saving Deposits, 2.00% for Fixed Deposits up to 1 year, and 1.50% for Fixed Deposits more than 1 year.
• Great Britain Pound Sterling Lines: 2.00% for Saving Deposits, 3.00% for Fixed Deposits up to 1 year, and 2.00% for Fixed Deposits more than 1 year.
• Australian Dollar Holdings: 1.50% for Saving Deposits, 3.00% for Fixed Deposits up to 1 year, and 2.00% for Fixed Deposits more than 1 year.
• Canadian Dollar Accounts: 1.00% for Saving Deposits, 1.50% for Fixed Deposits up to 1 year, and 1.25% for Fixed Deposits more than 1 year.
• Japanese Yen Capital Tracks: 0.25% for Saving Deposits, 0.45% for Fixed Deposits up to 1 year, and 0.40% for Fixed Deposits more than 1 year.
• Chinese Yuan Holdings: 0.50% for Saving Deposits, 1.00% for Fixed Deposits up to 1 year, and 0.50% for Fixed Deposits more than 1 year.

The bank treasury department clarifies that liquid Call Deposits across all respective foreign currencies are capped at an adjusted return ceiling up to 10.00% of the lowest saving deposit interest rate of that specific currency. Yields for alternative international currencies remain negotiable, while Non-Resident Nepalis and official remittance customers receive an additional 1.00% interest premium across these foreign currency tiers. The minimum tenor required for individual foreign currency fixed placements is set at 3 months, while institutional foreign currency fixed commitments require a minimum duration of 6 months.

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Evaluating Commercial Lending Premiums and Base Rate Additions

On the credit side of the balance sheet, floating rate loans are calculated by adding customizable risk premiums to the underlying base rate of the bank. The base rate as of Baisakh 2083 is established at 8.12%, the average base rate of the preceding 3 months stands at 8.20%, and the net interest spread is maintained at 3.64%.

The primary credit risk parameters and commercial loan premium ranges over the base rate include:

• Fluctuating Working Capital (CC/OD/Short Term Loan/Import Loan/Working Capital Loan): Base Rate + Up to 2.25% for Large Corporate, Up to 2.50% for Corporate, Up to 3.00% for SME, and Up to 3.25% for Micro clients.
• Agriculture Working Capital: Base Rate + Up to 2.25% for Large Corporate, Up to 2.50% for Corporate, Up to 3.00% for SME, and Up to 3.25% for Micro lines.
• Working Capital – Term Loan: Base Rate + Up to 2.50% for Large Corporate, Up to 2.50% for Corporate, Up to 3.00% for SME, and Up to 3.25% for Micro operators.
• Agriculture Term Credit: Base Rate + Up to 2.50% for Large Corporate, Up to 2.50% for Corporate, Up to 3.00% for SME, and Up to 3.25% for Micro accounts.
• Sustainable Fluctuating Working Capital Loan: Base Rate + Up to 2.00% for Large Corporate and Up to 2.00% for Corporate enterprises.
• Fixed Term Loan: Base Rate + Up to 2.50% for Large Corporate, Up to 2.50% for Corporate, Up to 3.00% for SME, and Up to 3.25% for Micro lines.
• Energy Sector Term Financing: Base Rate + Up to 2.50% across approved energy development lines.
• Bridge Gap Loan Facilities: Base Rate + Up to 2.50% for Large Corporate, Up to 2.50% for Corporate, Up to 3.00% for SME, and Up to 3.25% for Micro setups.
• Home Loan (Variable Track): Base Rate + Up to 3.00% over the moving base index.
• Auto Loan (Variable Track): Base Rate + Up to 3.00% over the moving base index.
• Commercial Vehicle Loan: Base Rate + Up to 3.25% over the moving base index.
• Professional Loan (Variable Track): Base Rate + Up to 3.50% over the moving base index.
• Education Loan (Variable Track): Base Rate + Up to 3.25% over the moving base index.
• Mortgage Overdraft: Base Rate + Up to 3.25% over the moving base index.
• Mortgage Term Loan / Short Term Loan: Base Rate + Up to 3.25% over the moving base index.
• Export Finance Against USD LC: Base Rate + Up to 2.75% over the moving base index.
• Export Finance Against NPR and Other Currency LC: Base Rate + Up to 2.75% over the moving base index.
• Export Finance Against USD Export Documents: Base Rate + Up to 2.75% over the moving base index.
• Export Finance Against NPR & Other Currency Export Documents: Base Rate + Up to 2.75% over the moving base index.
• Bank Guarantees Issued by Foreign Banks: Base Rate + Up to 2.25% over the moving base index.
• Loan Against Shares: Base Rate + Up to 3.25% over the moving base index.
• Indirect Deprived Sector Lending (DSL Eligible): Base Rate + Up to 2.00% over the moving base index.
• Direct Deprived Sector Lending: Base Rate + Up to 3.50% over the moving base index.
• Alternative Credit Sectors: Base Rate + Up to 2.50% over the moving base index.
• Small Business Loans up to 2 Crore Rupees (NRB Prescribed): Base Rate + 2.00% flat premium.

Fixed Interest Rate Structures for Individual and Corporate Term Loans

To protect retail and commercial borrowers from shifting market volatilities, the bank maintains a rigid fixed interest rate framework across specific multi year loan horizons.

The fixed annual interest paths for individual consumer term loans include the following tiers:

• Home Loan: 7.99% for terms up to 5 years, 8.49% for terms above 5 years to up to 10 years, and 9.00% for terms extending above 10 years.
• Mortgage Loan: 9.75% for terms up to 5 years, 10.25% for terms above 5 years to up to 10 years, and 10.75% for terms extending above 10 years.
• Professional Loan: 9.75% for terms up to 5 years, with longer durations left unlisted under the fixed individual structure.
• Education Loan: 9.25% for terms up to 5 years, 9.75% for terms above 5 years to up to 10 years, and 9.75% for terms extending above 10 years.
• Hire Purchase Loan: 9.75% for terms up to 5 years, rising to 10.25% for terms extending above 5 years.
• Auto Loan: 9.25% for terms up to 5 years, rising to 9.75% for terms extending above 5 years.
• Special individual housing campaigns feature the Siddhartha Hamro Ghar Karja which locks in a fixed rate of 7.75% per annum, dropping to 7.49% per annum for women, with both options fixed for a baseline duration of 7 years. Eco friendly transportation alternatives under the Electric Vehicle loan track carry a fixed cost of 8.50% per annum, scaled down to 8.25% per annum for women borrowers. For all non individual corporate term loan allocations, the fixed rate framework operates between 8.00% and 8.50% up to 5 years, 8.75% to 8.99% for durations above 5 years to up to 10 years, and 9.00% to 9.25% for extended terms spanning 10 to 15 years.

Collateral Agreements and Regulatory Compliance Guidelines

To secure risk coverage, the credit administration board applies strict baseline formulas when pricing facilities backed by high grade financial instruments and alternative sovereign guarantees.

The underlying structural interest paths for secured credit lines include:

• Loans Secured by Bank Fixed Deposits: Priced at the original asset coupon rate plus up to 2.00%, or the current base rate plus up to 2.00%, applying whichever alternative calculation yields the higher final rate.
• Loans Secured by Foreign Currency Deposits at SBL: Priced at the current base rate plus the asset coupon rate plus up to 2.00%, applying whichever calculation yields the higher final rate.
• Loans Secured by Government Bonds: Priced at the original bond coupon rate plus up to 2.00%, or the current base rate plus up to 2.00%, applying whichever alternative calculation yields the higher final rate.
• US Dollar Denominated Foreign Currency Loans: Calculated utilizing the prevailing benchmark international interest index plus a mutually agreed risk premium, subject to consortium decisions.

The bank executive management emphasizes that the effective applicable interest rate on floating credit lines is subject to direct adjustments on the first day of each month in the Nepali calendar, triggered by changes in the rolling average base rate of the preceding 3 months.

Concession loans qualifying under state targeted interest subsidies will be priced with premium spreads matching specific circulars issued by Nepal Rastra Bank. Similarly, where the central bank enforces a fixed mandatory premium, those exact limits will override standard spreads.

All expired, unserviced, or overdue credit facilities will face an immediate mandatory penal interest charge of 2.00% per annum above the normal rate, while similar credit products will be monitored continuously to remain fully aligned with central bank limits.

By keeping credit differentials aligned with local regulatory rules, Siddhartha Bank Limited continues to support industrial expansion while protecting its depositors’ assets across its extensive national branch network.

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