Kathmandu. Mahaprasad Adhikari, Governor of Nepal Rastra Bank, has said that now the interest rates of banks will decrease. Speaking at a discussion program on the current economic situation of the country organized by the Parliamentary Studies and Development Institute on Tuesday, he expressed the view that bank interest rates will gradually decrease as there has been a wide discussion lately.

In the program, he said that as liquidity becomes easier, interest rates will also decrease. Similarly, he said that the economic growth rate is estimated to be around 4/5 percent. According to him, there are rumors that the overall economy is in a negative state, stating that it is not the case. He says that some of the recent activities have created more despair.

In the program, he said that it is important to identify items that can replace imports, and the most important sector is agriculture. Similarly, due to the increase in remittances, liquidity has also eased.

"The tourism sector has reached the same level as it was before the corona epidemic, the tourism sector is running, the economy is showing signs of improvement as liquidity is easy, 95 percent of government payments are done digitally, this is also a good thing for the economy as a whole," he said.

Similarly, in the program, he also raised the issue of merger of banks and financial institutions. He said that although licenses were distributed for institutional development in the market, the merger policy had to be introduced due to the increase in unhealthy competition.