NRB to withdraw Rs 35 billion from market today
Banks and financial institutions (BFIs) have been invited to participate in the online bidding process, which is open until 3 PM today.
KATHMANDU: Amid surplus liquidity in the banking sector, Nepal Rastra Bank (NRB) is set to withdraw Rs 35 billion from the market today (Wednesday) to stabilize the financial system.
The central bank has been regularly conducting liquidity absorption operations twice a week—on Sundays and Wednesdays—for the past one and a half years.
This move is part of NRB’s ongoing effort to maintain monetary discipline through deposit collection instruments.
According to NRB, the Rs 35 billion will be withdrawn for a period of 21 days using its deposit collection mechanism.
Banks and financial institutions (BFIs) have been invited to participate in the online bidding process, which is open until 3 PM today.
As per the NRB notice, eligible BFIs from Class ‘A’, ‘B’, and ‘C’ categories can submit bids in multiples of Rs 50 million, with a minimum bid amount of Rs 100 million.
The deposit instruments acquired through this process can be used as collateral for interbank transactions.
