The credit flow of development banks is more than that of commercial banks - NRB Report

Sep Thu 2021 12:19:27

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The credit flow of development banks is more than that of commercial banks - NRB Report

Kathmandu. Nepal Rastra Bank has stated that development banks have disbursed more loans than commercial banks. The NRB has made public the current economic and financial situation of the country in the first month of the current fiscal year.

According to the bank, credit to commercial sector increased by 1.1 percent, credit to development banks by 2 percent and credit to finance companies by 1.6 percent during the review period.

Similarly, credit to private sector from banks and financial institutions increased by 1.2 percent during the review period. Such loans had decreased by 0.5 percent in the corresponding period of the previous year. On a year-on-year basis, credit to the private sector from banks and financial institutions increased by 29.4 percent in mid-July 2012/13.

Similarly, in mid-July 2012/13, 66.2 percent of the outstanding loans of banks and financial institutions were secured by real estate and 12.8 percent by current assets (agricultural and non-agricultural goods). In mid-July 2012, the ratio of such collateral loans was 66.1 percent and 12.7 percent respectively.

Similarly, in the first month of FY 2078/79, credit to agriculture sector increased by 2 percent, credit to industrial manufacturing sector by 1.4 percent, credit to construction sector by 1.3 percent, credit to transport, communication and public services sector by 1 percent. , Credit to wholesale and retail trade sector increased by 0.5 percent and credit to service industry sector increased by 0.4 percent.