Stories Tagged 'Banks and financial institutions'
Banks and financial institutions expanded credit by 7.9 percent in the first eight months of the current fiscal year despite facing shortage of funds that could be disbursed as loans.
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Many banks and financial institutions have started rushing to grab instruments floated by the Nepal Rastra Bank (NRB) to inject money in the banking system, indicating they have started facing shortage of liquidity.
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As borrowers regain their appetite for loans, banks and financial institutions (BFIs) recorded almost three-fold jump in credit outflow in the first quarter of this fiscal year amid normalisation in Nepal-India trade and pressure to expand business in line with the expansion of capital base.
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These days, customers, who want to transfer money from one bank account to the account of another bank, do not have to go through a cumbersome process as in the past.
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Nepal Rastra Bank has allowed banks and financial institutions to extend repayment deadlines by one year for borrowers whose projects have been damaged by the earthquake.
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Nepal Rastra Bank
Foreign companies other than banks and financial institutions will have to divest their shares in Nepali BFIs by mid-July 2015 according to a Nepal Rastra Bank circular issued on Tuesday.
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