Nepal Rastra Bank to withdraw another Rs 30 billion from banking system today
Nepal Rastra Bank is set to withdraw another Rs 30 billion from the banking system today, Ashoj 21, through a deposit collection instrument after excess liquidity piled up. The bidding for this 28-day deposit collection instrument will take place until 3 PM today via the online bidding system.
Kathmandu. After excess liquidity piled up in the banking system, Nepal Rastra Bank has been continuously withdrawing money. The central bank has been pulling money from the banking system using the deposit collection instrument.
The central bank is set to withdraw another Rs 30 billion from the banking system through deposit collection today, Ashoj 21.
The bidding for deposit collection must be done at the interest rate, and bids can also be made on the interest rate, according to the central bank. Only banks and financial institutions of classes 'A', 'B', and 'C' will be allowed to participate in the bidding for the deposit collection instrument. The bidding will take place until 3 PM today through the central bank's online bidding system.
Banks and financial institutions willing to deposit can bid up to the total called amount, with a minimum of Rs 100 million and a maximum that is a multiple of Rs 100 million.
The central bank has stated that the principal and interest of this 28-day deposit collection instrument will be paid on the upcoming Kartik 18.