Nepal Rastra Bank invites banks and financial institutions to bid for 365 days Fixed Deposits

Wed, Apr 3, 2019 8:34 PM on Latest, Economy,
-ShareSansar

Nepal Rastra Bank has invited banks and financial institutions of class A, B and C to bid for 365 fixed deposits from Baisakh 02, 2076 to Baisakh 01, 2077. The interest will be paid quarterly but the BFIs will need to fulfill the following conditions:

  1. Completion of at least 2 years of operation.
  2. Maintenance of the minimum capital mandated by NRB.
  3. Non-performing loan ratio below 5%.
  4. Net liquid asset to domestic deposit ratio of at least 20%
  5. Loan to domestic deposit and core capital ratio under the limit instructed by NRB.
  6. Recent Fiscal Year’s operation should be in profit.
  7. Real estate loan below the level mandated by NRB.
  8. The current directors, CEO and executive director should not have been charged/penalized by NRB
  9. Completion of at least 6 months if the BFI had been recently released from recovery state.
  10. The BFI should not be declared as problematic according to BFI Nepal Rastra Bank Act 2058. If had been declared, then it should complete at least 6 months of release.
  11. BFI should have already issued if share have been separated for such purpose.

The amount that has been allocated for each class of BFI is listed below:

Commercial Bank (Class A): Rs. 31,675 lakh

Development Bank (Class B): Rs 5, 348 lakh

Finance Companies (Class C): Rs 1, 948 lakh

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