Kathmandu. Nepal Rastra Bank (NRB) has removed the provision for capital loan deposit (CCD) ratio for banks and financial institutions. NRB is going to make such policy arrangement saying that more capital is needed in the economy.

The monetary policy stipulates that the existing loan-to-resource mobilization (CCD) ratio will be scrapped by making it mandatory for banks and financial institutions to maintain a maximum of 90 percent by mid-July 2079 BS. It is mentioned in the monetary policy that the bonds and borrowings other than the bonds as part of the capital fund and the capital fund can be adjusted in the loan-to-deposit ratio as mentioned above.