Too Much Cash in Banks? NRB Pulls Rs. 40 Billion Yesterday, Targets Rs. 120 Billion Today
Summary
Nepal Rastra Bank is set to collect Rs. 120 billion from banks and financial institutions through an online bidding process to manage excess liquidity in the banking sector.
Key Points
- Nepal Rastra Bank plans to collect Rs. 120 billion from banks and financial institutions via a bidding process.
- The deposits will be for a 97-day period with interest rates decided through bidding.
- Only licensed A, B, and C class banks and financial institutions approved by NRB can participate.
- Deposited amounts won't count towards cash reserve ratio but will be considered for other liquidity measures.
