NRB to procure 40 billion rupees in liquidity today

Kathmandu, August 28—Nepal Rastra Bank will collect 40 billion rupees in liquidity from banks and financial institutions today.

Due to excess liquidity in the banking system, the central bank will use deposit collection instruments to gather this amount for a period of 21 days.

Banks and financial institutions interested in participating can apply online until 3 p.m. on Wednesday. The details of the deposit collection process will be discussed today.

As of August 24, the total deposits held by banks and financial institutions amount to 64.47 trillion rupees. However, these institutions have only invested 51.79 trillion rupees in loans, leaving over 6 trillion rupees in excess liquidity.

With a decrease in credit demand, the central bank is continuously managing liquidity through these deposit collection tools. In line with this, another 40 billion rupees will be allocated today.