Nepal Rastra Bank (NRB) issued new directive for banking and finance companies to issue loans upto Rs.50 Lakhs to firms without the requirement of tax clearance certificate.

Loans more than Rs.50 Lakhs and less than Rs.2 Crore can be issued to firms from agricultural, tourism, small and medium scale industry on the basis of details submitted to the tax office.

More than Rs.2 Crore Personal Loan, the tax clearance certificate is compulsory, on the basis of which loans can be provided with maximum debt payment ratio of 60%. 

As proposed by the midterm review, loans against land has been increased to 60% of the valuation which was previously at 50%.