Nepal Rastra Bank (NRB) withdrew Rs 20 billion from the banking system on Wednesday as part of its liquidity management efforts. The central bank used a 63-day deposit collection instrument to absorb surplus funds. This follows a series of bond issuances over the past two weeks that collectively pulled Rs 200 billion from the market. Commercial banks and financial institutions from Class A, B, and C categories participated in the online bidding process, which closed at 2 pm. The NRB has increasingly relied on such tools to regulate excess liquidity caused by weak private-sector credit demand.
