Kathmandu, July 28
Confederation of Banks and Financial Institutions Nepal
(CBFIN) has said that the Monetary Policy of the current Fiscal Year 2024/25
announced by the Nepal Rastra Bank (NRB) on Friday is 'balanced and timely'.
Issuing a statement on Sunday, it said that the policy was
brought out by objectively studying, evaluating and analysing the state of the
economic and financial sectors of the country, the state of mind and
expectations of the private sector and the global environment.
"Through the revitalising of the economic activities
and economy that have been slacking for the past few years, adopting policies
for the stability and sustainable development of the economic and financial
sector, and making efforts to facilitate it independently, the central bank is
trying to awaken the lowered morale and confidence of the private sector as a
whole," read the statement.
CBFIN said that revision of the capital adequacy
framework, reduction in the bad loan loss system, provision that some of the
reserves in the regulatory reserve can be counted as tier two capital and
encouraging the use of capital fund tools and new tools are positive and
commendable steps of the monetary policy to address the pressure on the capital
fund of banks and financial institutions (BFIs).
Similarly, it appreciated the steps like reducing the
policy rate, increasing the limit of the regulatory retail portfolio, giving
relief to the builders with special priority, removing the limit of
institutional share mortgage loans, adopting a policy to facilitate loans to
the agriculture and innovation sector, and adjusting the loan by 'variance
analysis' in the current capital loan guidelines.
Published in The Rising Nepal daily on 29 July 2024.
No comments:
Post a Comment