Governor Poudel: Monetary Policy Introduced to Complement Government Budget Objectives

Nepal Rastra Bank (NRB) has introduced its monetary policy for the fiscal year 2083/84, specifically designed to align with and support the government’s annual budget and policy roadmap. Speaking at a policy discussion in Kathmandu, NRB Governor Prof. Dr. Bishwanath Poudel emphasized that central bank policy is meant to complement fiscal goals rather than overshadow them.

Addressing the gathering, Governor Poudel noted that public expectations surrounding the annual monetary policy have historically been unrealistically high compared to the federal budget. He clarified that the central bank cannot resolve every economic issue on its own, noting that broader public welfare concerns fall primarily under the government's scope. He also highlighted improved confidentiality during the drafting process, stating that unlike in past years, no information leaks occurred ahead of the official release.

Commenting on the announcement, former NRB Executive Director Nara Bahadur Thapa observed that this year's policy adopts a more targeted approach across three distinct sections rather than attempting to address all systemic challenges at once. While acknowledging that some expected broader relief, Thapa emphasized that routine annual debt restructuring is insufficient to foster long-term growth. He called on the central bank to take active steps toward corporate restructuring to help build sustainable entrepreneurship in the country.