Commercial Banks Announce New Interest Rates for Shrawan; Rates Continue to Decline

Kathmandu. Commercial banks have published new interest rates for the month of Shrawan, effective from today. According to published data, the trend of declining bank interest rates has not stopped in Shrawan. The average interest rate for both individual and institutional customers has decreased in Shrawan compared to Jestha. Out of twenty commercial banks, some banks have reduced their previous month's interest rates for the month of Shrawan.

The National Commercial Bank has reduced the most interest rates. This bank has cut interest rates by 0.75 percent for individuals and 1 percent for institutions. Similarly, Global IME Bank has reduced interest rates by 0.5 percent for individuals and 0.25 percent for institutions, while NMB Bank has reduced them by 0.25 percent for individuals and 0.5 percent for institutions.

Similarly, Citizens Bank International has reduced interest rates by 0.15 percent for individuals and 0.5 percent for institutions.

Agriculture Development Bank has reduced its interest rate by 0.03 percentage points for institutions, while Kumari Bank and Standard Chartered Bank have reduced their interest rates by 0.06 percent and 0.1 percent respectively for individuals only.

However, most commercial banks have continued the interest rates of Jestha in Shrawan. Twelve banks including Nabil, Prabhu, Nepal Investment Mega, Sanima, Machhapuchchhre, Nepal SBI, Everest, Siddhartha, Himalayan, Laxmi Sunrise, NIC Asia, and Prime Commercial have not made any changes to their individual and institutional fixed deposit interest rates.

Amidst this declining interest rate trend, Nepal Bank Limited has increased its institutional interest rate from a maximum of 3 percent to 4 percent. Nepal Bank has set the interest rate for institutional fixed deposits of 4 years or more at this rate. However, its individual interest rate remains stable at 4.25 percent.

According to the newly published rates, Nabil Bank and Prabhu Bank will offer the highest interest rates on individual fixed deposits in the month of Shrawan. These two banks have set a maximum interest rate of 4.55 percent for individuals.

On the other hand, Kumari Bank and Standard Chartered Bank have the lowest interest rates on individual fixed deposits, where customers will receive a maximum interest rate of only 3.85 percent.

In the case of institutional fixed deposits, Nepal Bank has set the highest interest rate at 4 percent. Prabhu, Agriculture Development, Nepal SBI, Prime Commercial, Global IME, and Standard Chartered Bank have set the lowest interest rate at only 2.75 percent.

New Interest Rates