Deposits in Nepal’s banking system rose sharply by Rs 4.17 trillion in the first half of FY 2082/83, reaching Rs 76.81 trillion. However, private sector lending expanded by only Rs 1.97 trillion, leaving banks with ample liquidity. The surplus funds have driven lending rates down to 7.12%, while deposit rates have declined to 3.56%, reflecting subdued credit demand.
Discussion about this post