Kathmandu. Banks have recently doubled credit investment compared to deposit collection. Commercial banks have affected loans of Rs 53 billion from March 22 to March 24. Recently, commercial banks have extended loans at the rate of Rs 4.5 billion daily. Banks have invested a total of Rs 53 billion in loans during the period from March 22 to March 30. Figures from the Nepal Bankers Association show that Rs 18 billion was disbursed in the first week of Falgun 2077. The total credit investment has increased to Rs. 33.88 trillion and the deposit has stood at Rs.

Compared to the credit flow, the deposit collection train is very low. 37 billion in deposits in March. Banks have collected only Rs 24 billion in deposits during the period from March 22 to March 25. The credit to deposit ratio has been very low. Investors' interest in deposits has not increased as banks have reduced interest rates on deposits. Lately, the pace of development work has been increasing. Bankers say that if the government spends, the money will come to the bank.

Due to the low interest rate, if you look at the deposit collection train from January to February, there is not much enthusiasm. Due to the low interest rates offered by banks, ordinary depositors do not keep money in banks. The main reason for the decline in deposits is the low interest rates offered by banks. In addition, some have estimated that the income has decreased due to covid and the savings have decreased due to increased expenses.

Demand for credit from banks has risen as economies affected by the recent Corona have begun to recover. Demand for credit from banks has increased due to increase in imports, stock market and real estate transactions. Depositors have started investing in the stock market and real estate for higher returns as banks offer lower returns on deposits.