Nepal Rastra Bank to Absorb NPR 20 Billion Excess Liquidity Today
24th September 2026, Kathmandu
Nepal Rastra Bank (NRB) has announced a notice to mop up NPR 20 billion from the banking sector through a deposit collection instrument.
NRB to Absorb 20 Billion
The central bank continues to absorb liquidity systematically due to a surplus of loanable funds across financial institutions. Eligible Class A, B, and C financial institutions can participate in the competitive bidding process via NRB online bidding system.
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Deposit Collection Details and Bidding Framework
The central bank has outlined specific participation guidelines, minimum bidding limits, and operational procedures for participating institutions.
- Total Issue Amount: Nepal Rastra Bank aims to collect up to NPR 20 billion from the banking system.
- Eligible Institutions: Bidding is strictly restricted to licensed Class A commercial banks, Class B development banks, and Class C finance companies.
- Bidding Mechanism: Interest rates will be determined through competitive bidding conducted until 3:00 PM on Ashwin 8.
- Minimum Bid Amounts: Participating financial institutions must submit bids starting at a minimum of NPR 100 million, increasing in multiples of NPR 100 million up to the total offered amount.
Tenure and Settlement Terms
The deposit instrument features defined holding periods and scheduled maturity repayment timelines.
- Instrument Tenure: The liquidity absorption scheme operates under a 32-day deposit collection instrument format.
- Maturity and Settlement Date: Nepal Rastra Bank will disburse the principal amount along with accrued interest on Kartik 9.
For More: NRB to Absorb 20 Billion
