CIT funds reach Rs. 168 bn

Kathmandu, Mar. 17

The size of funds at the Citizen Investment Trust (CIT) has reached Rs. 167.99 billion and it has mobilised about Rs. 163.3 billion in loans and investments.

It has invested Rs. 101.6 billion in fixed deposits, Rs. 1.5 billion in government debentures, Rs. 12.8 billion in organised companies' shares, Rs. 27.9 billion in participants lending and housing loans, and 19.7 billion in term loans, according to CIT reports published on Wednesday.

Speaking at a programme organised to mark the 31^st Anniversary of the CIT in the Capital, its Executive Director, Raman Nepal, said that the institution had 750,000 participants from across the country covering various government, private, public and civil society organisation.

New branches of the institution are being established in Attariya and Lumbini in the current fiscal year while branches will be expanded in additional two provinces next year.

Nepal said that process is started to include the workers of informal sectors in the pension plan. "Phalebas Municipality of Parbat district has started to deposit Rs. 1000 each month for every informal sector worker. Municipality will subsidise 50 per cent of the amount," he said. CIT and Phalebas recently signed an agreement to this effect.

Likewise, CIT has increased the ceiling of the housing loan to Rs. 8 million from existing Rs. 4 million while limit of simple loan and vehicle loan is raised to Rs. 3 million while education loan is increased to Rs. 4 million.

Secretary of Revenue at the Ministry of Finance, Ram Sharan Pudasainee, said that the government's priority is to lift the coronavirus affected economy. "The pandemic disrupted the high growth trajectory on which the country was moving in the last three years before the advent of COVID-19. Therefore, infrastructure development and employment generation and expansion of economic activities," should be in the top list," he said.

He suggested that the CIT should design and announce more products and instruments to mobilise the savings.

"You should move ahead trading off the risks and returns. Economy, efficiency and effectiveness should be maintained in service delivery. Corporate governance should be the improved and at par with the business corporations," he said.

Bhisma Raj Dhungana, Chairman of the Securities Board of Nepal (SEBON), said that CIT has legal provision to mobilise international resources as well, it should tap into that opportunity as well.

Prof. Dr. Ram Chandra Bhattarai, Chairman of the CIT, maintained that the institution would movilise investment in agriculture, tourism, energy, infrastructure construction in order to support in the economic growth of the country.

Published in The Rising Nepal daily on 18 March 2021.