Dramatic Lending Hike In Agri Sector Raises Eyebrows

Mon, Jun 25, 2012 12:00 AM on Others, Others,

 KATHMANDU, June 25:

A dramatic hike in commercial banks´ lending to the agricultural sector has raised eyebrows of many, raising question whether the growth is real.

A total of 32 commercial banks extended loans of Rs 7.27 billion in the first 10 months of the current financial year, marking a growth of 51.3 percent since mid-July, Nepal Rastra Bank (NRB) figures show. In the same period last year, credit extended by commercial banks to the agricultural sector had gone down by Rs 744.4 million.

Source: Republica