Nepal Rastra Bank (NRB) has prepared a draft bill proposing a six-month overdraft facility for the government to address short-term liquidity gaps. The proposal, submitted to the Ministry of Finance, states that such borrowing must not exceed 5 percent of the previous fiscal year’s revenue. The draft amendment to the Nepal Rastra Bank Act, 2002, also introduces provisions for digital currency and digital banking. Additionally, the central bank has recommended expanding its board to include five independent non-executive directors to strengthen transparency and institutional autonomy.
