House panel passes NRB bill report, cuts governor’s term to three years
Summary
The House of Representatives Finance Committee has unanimously passed the report on the Nepal Rastra Bank bill, cutting the governor’s term from five years to three and allowing a two-year reappointment. The report also tightens eligibility rules, sets a fixed annual monetary policy date, and expands NRB’s regulatory scope.
Key Points
- The House Finance Committee passed the report on the Nepal Rastra Bank bill with major revisions to the proposed legislation.
- The governor, deputy governors and board members’ terms were reduced from five years to three years, with the option of a two-year reappointment based on performance.
- The report adds tighter conflict-of-interest rules, including a two-year cooling-off period and shareholding limits for board eligibility.
- NRB’s supervisory scope will expand to include the Citizen Investment Trust, Employees Provident Fund and Social Security Fund, and monetary policy must now be issued on the first day of Shrawan each year.
