Nepal Rastra Bank has revised regulations for ‘D’ class microfinance institutions, raising the maximum loan limit for low-income and disadvantaged borrowers. Individuals can now access up to Rs 1.5 million in microloans backed by acceptable collateral for agriculture, microenterprise, or business use—up from the earlier ceiling of Rs 700,000. Additionally, the interest rate on NRB-provided credit facilities to licensed institutions has been reduced to 5.75 percent from 6 percent.
