Jan Wed 2022 02:34:03
Kathmandu. Nepal Rastra Bank has issued guideline 2078 on corporate social responsibility of financial institutions. The bank released the draft on Monday. The main objective of this guide is to spend a certain portion of the profits of banks and financial institutions under corporate social responsibility to contribute towards environmental protection, social development, promotion of financial literacy, financial inclusion, promotion of electronic payments as well as strengthening of education and health services.
The NRB believes that the implementation of this guideline will ensure fair and transparent disbursement of expenditure under social responsibility by banks and financial institutions in a fair and transparent manner, promotion of social interest and effective utilization of resources in multi-purpose activities.
According to the NRB, in order to be more active in the work of corporate social responsibility, Nepal Rastra Bank has provided “A”, “B”, “C” and “D” class licensed banks and financial institutions and infrastructure development banks to be more active in corporate social responsibility. The specified percentage should be set aside and deposited in the Institutional Social Responsibility Fund. The Board of Directors of the Licensed Institution may decide to deposit more than the specified percentage from the Nepal Rastra Bank in the said fund and spend it on the work under corporate social responsibility.