NRB to withdraw Rs 20 billion from market
The central bank is using its deposit collection tool to withdraw the amount for a period of 21 days.
KATHMANDU: To manage excess liquidity in the banking and financial sector, Nepal Rastra Bank will withdraw Rs 20 billion from the market on Sunday.
The central bank is using its deposit collection tool to withdraw the amount for a period of 21 days.
This withdrawal is part of Nepal Rastra Bank’s regular practice of conducting market operations on Sundays and Wednesdays to manage liquidity.
Today, the central bank will once again pull Rs 20 billion from the market.
Banks and financial institutions have been invited to participate in the online bidding process for the deposit collection until 3 p.m. today.
According to the notice, the minimum bid amount is Rs 10 million, and the maximum is Rs 50 million, with any remaining balance going unallocated.
The bidding process must be carried out at the deposit collection interest rate, and multi-rate bids will also be allowed, as per the notice issued by the central bank.
Only ‘A’, ‘B’, and ‘C’ category banks and financial institutions will be eligible to participate in the bidding process.
Additionally, the deposit collection instruments purchased through this process can be used as collateral by other banks and financial institutions.
