Banks decide not to raise interest rate immediately

KATHMANDU: Bankers have decided not to raise interest rate immediately. The Nepal Rastra Bank (NRB) had released guidelines for putting the new policy rate into effect on Wednesday.

However, commercial banks have decided to give continuity to the current interest rate and not to hike it.

As of today, interest rate for regular term deposits is 11.03 percent at the moment. The interest that was to be offered to institutions was to be cut by 1%. This resulted in the institution receiving interest at a rate of 10.03 percent, but now the interest rate on institutional deposits will drop to 9.03 percent further after NRB directives.