NRB to Withdraw Rs 50 Billion from Banking System via Deposit Auction

In a bid to manage growing excess liquidity in the financial system, Nepal Rastra Bank (NRB) has announced a 63-day deposit collection auction aimed at mopping up Rs 50 billion from banks and financial institutions.

The central bank has invited participation from eligible BFIs, with online bidding scheduled for 3 PM on Wednesday. According to NRB, both principal and interest payments on the collected funds will be settled on August 27.

This fresh liquidity absorption follows a series of similar interventions, with around Rs 2.5 trillion already raised through various deposit instruments still awaiting maturity.