16th September 2025, Kathmandu
Global IME Bank, a major player in Nepal’s financial sector, has announced its updated interest rates for the Nepali month of Ashoj 2082 (mid-September to mid-October 2025).
Global IME Revises Interest Rates
The bank’s new rate structure keeps its personal fixed deposit rates unchanged at a maximum of 6 percent, while significantly reducing rates for institutional deposits. This dual approach reflects the broader trend of easing deposit yields in the Nepali banking sector, which is currently characterized by ample liquidity.
Personal and Institutional Fixed Deposit Rates
For individual savers, the stability of the personal fixed deposit rates is good news. Global IME Bank continues to offer one of the more attractive rates in the market, with a maximum of 6 percent for deposits with a tenure of three years or more. This tiered structure rewards long-term commitment, with rates starting at 3.75 percent for shorter tenures (3 to less than 6 months). By maintaining these rates, the bank provides a stable and competitive option for customers seeking long-term growth on their savings.
In a stark contrast, institutional depositors, such as corporations and organizations, will see a significant drop in their returns. The maximum interest rate for institutional fixed deposits has been reduced to 3.25 percent, a full percentage point decrease from the previous month’s rate of 4.25 percent. This sharp reduction indicates that the bank has a comfortable funding position and does not need to offer high rates to attract large-scale institutional funds. The move also aligns with the broader market trend, where many commercial banks are adjusting their institutional rates downward to reflect the current liquidity surplus.
Why the Rates are Trending Down
The overall downward trend in deposit rates across Nepal’s banking sector can be attributed to a combination of macroeconomic factors. First, the banking system is experiencing excess liquidity. This is primarily due to strong remittance inflows from Nepalis working abroad and a moderate demand for credit within the country. When banks have more funds than they need to meet their lending requirements, they have less incentive to compete for deposits by offering high interest rates.
Second, a stable inflation outlook has reduced the pressure on banks to provide high yields to depositors. With consumer prices remaining relatively stable, the real return on deposits is not being eroded by inflation, making lower nominal interest rates more palatable.
Finally, the competitive environment plays a crucial role. As more and more leading commercial banks, including Himalayan Bank, Machhapuchhre Bank, and NMB Bank, have already lowered their deposit rates, Global IME Bank’s decision to maintain its high personal rates while lowering institutional ones places it in a strong position to attract retail customers.
Implications for Customers
For individual savers, Global IME Bank’s unchanged rates offer a significant advantage. With other banks trimming their personal deposit rates, the opportunity to secure a 6 percent return for a long-term deposit is a compelling proposition. For those considering a fixed deposit, this offers a stable and attractive investment option.
However, for institutional clients, the reduction to 3.25 percent means lower earnings on their parked funds. These clients may need to re-evaluate their investment strategies and explore alternative avenues to maintain their desired returns.
To make the most of the current rates, customers should consider a few practical steps. They can opt for longer tenures to maximize returns, and they might also consider monitoring rates from other banks to ensure they are getting the best possible deal. Furthermore, using digital banking channels can provide a more convenient way to manage fixed deposits and keep track of rates in real-time. The bank’s latest announcement serves as a reminder that staying informed and being proactive are key to navigating the evolving financial landscape in Nepal.
For More: Global IME Revises Interest Rates