Nepal Rastra Bank Issues Rs 25 Billion One-Year 'Nepal Rastra Bank Debt Bond 2084'

Kathmandu. Nepal Rastra Bank is issuing a one-year 'Nepal Rastra Bank Debt Bond 2084' worth Rs 25 billion today.

Issuing a notice today, the Monetary Management Department of the central bank stated that the debt bond will be issued through an online bidding system by 3:00 PM today. The debt bond will be issued based on the interest rate determined through bidding.

According to the notice, the term of the debt bond will be one year, and the principal will be paid on Ashad 19, 2084. Interest will be paid semi-annually.

According to Nepal Rastra Bank, bidding can be done for a minimum of Rs 50 million and thereafter in multiples of Rs 50 million up to the total amount called. The debt bond can be used as collateral in Nepal Rastra Bank and other banks and financial institutions.

Only 'A', 'B', and 'C' class banks and financial institutions (counterparties) licensed by Nepal Rastra Bank can participate in the bidding. Nepal Rastra Bank has stated that the debt bond will be allocated based on the interest rate approved through bidding.

The approved debt bond will be included in the investment portfolio. Although it cannot be counted in the Cash Reserve Ratio (CRR), it can be counted in the Statutory Liquidity Ratio (SLR) and Net Liquid Assets Ratio.