7 August 2024, Kathmandu
Nepal Rastra Bank (NRB) will withdraw NPR 40 billion from banks today through deposit collection.
Nepal Rastra Bank’s Withdrawal
The withdrawal process will take place online at 3 PM, as announced by the NRB.
Commercial banks, development banks, and finance companies have been invited to participate in this deposit collection process. The withdrawal is part of the NRB’s efforts to manage excess liquidity in the banking sector. To address this issue, the NRB utilizes both the bidding process and the permanent deposit facility, offering fixed interest rates to participating banks.
The deposits, amounting to NPR 40 billion, will be collected for 21 days. Banks are required to offer a minimum deposit of NPR 100 million, with the maximum offer allowed being up to the total call amount of NPR 40 billion, divided into increments of NPR 50 million.
The interest rate for these deposits will be determined through the bidding process. NRB has stated that the principal and interest will be paid to the banks on the 28th of August, marking the end of the 21 days.
Nepal Rastra Bank’s Withdrawal
