Current FY's two months data: BFIs deposit increases by Rs 4.89 arba, loan supply jumps Rs 47.76 arba

ShareSansar, October 29:

The deposit mobilization of banks and financial institutions (BFIs) has increased by Rs 4.89 arba, or 0.3 percent,  in first two months of the current fiscal year 2071/72 while  loans and advances of BFIs increased by Rs 47.76 arba, or 3.6, percent, according to recent Nepal Rastra Bank’s data.

Such a deposit mobilization had increased by 11.5 arba, or 1.0 percent, and loans by Rs 12.75 arba, or 1.1 percent, in the corresponding period of the last fiscal year 2070/71.

On year-on-year basis, deposit mobilization of BFIs expanded by 17.7 percent in mid-September 2014. In the review period, deposit mobilization of commercial banks and finance companies increased by 1.5 percent and 0.7 percent respectively while that of development banks decreased by 7.7 percent.
 
The deposit mobilization of commercial banks, development banks and finance companies had increased by 0.9 percent, 2.7 percent and 3.2 percent respectively in the same period of the previous year.

Likewise, loans of commercial banks and finance companies increased by 5.3 percent and 2.3 percent respectively while that of development banks decreased by 6.3 percent in the review period.

Similarly, the credit to the private sector from BFIs increased by 3.2 percent (Rs 35.21 arba) in the review period compared to an increase of 1.1 percent (Rs 10.82 arba) in the same period of the previous year, according to the NRB.

On year-on-year basis, the credit to private sector from BFIs increased by 21.1 percent in mid-September 2014. In the review period, credit to the private sector from commercial banks and finance companies increased by 5.1 percent and 0.8 percent respectively while that of development banks decreased by 6.1 percent.

NRB has attributed the NRB the merger of some development banks with commercial banks to the decline of deposits and loans of development banks in the review period.