Kathmandu. Nepal Rastra Bank is going to draw liquidity equal to Rs. 20 billion from the market. While there is more liquidity in the market, Nepal Rastra Bank is going to raise the same amount of liquidity through reverse repo. The repo will be sold through the minimum interest rate bidding process. Commercial banks, development banks and finance companies will be able to participate in the process.

At present, Rs 70 billion reverse repo has been sold in the market. When this 20 billion is added, the total liquidity mobilization through this device will reach 90 billion. At present, the market weighted average interbank rate is 0.4945 percent. This rate will also affect the repo interest rate. At present, there is about Rs 100 billion more liquidity in the market, according to NRB.