Nepal Rastra Bank makes way for foreign borrowings; Infrastructure development project to get benefitted

Nepal Rastra Bank has issued a notice stating that the companies involved in infrastructural development can acquire foreign borrowings in the form of Short Term Advances to meet the current operating expenses of the project.

The projects interested in availing this facility should meet the following criteria;

1. The borrowings should be taken only to meet the current operating expenses of the project.
2. The tenure of the borrowings should be of less than 1 year.
3. Interest should not be payable on this type of borrowings.
4. Such borrowings can only be taken through the parent company of the project.
5. The borrowing amount should be taken via banking system.
6. Photocopy of agreement, Swift message and bank statement should be provided to the Rastra Bank within 15 days of taking such loan.

The decision taken by Rastra Bank will be of a great help to the infrastructural projects as it will provide aid to the projects to meet the operating expenditure in an easy way.