Kathmandu. The base rate of five banks, including two government banks, is in single digits. The base rate of National Commercial Bank, Nepal Bank, Standard Chartered, Nabil, and Nepal Investment Mega Bank is in single digits. The base rate of these banks is less than 10 percent. The base rate of the banks indicates the cheap and expensive interest when taking a loan. At present, it is seen that loans can be taken from these five banks at cheap interest rates.

Those who want to take a loan also choose a bank for a loan by looking at the Aadhaar rate. Based on this, it can be estimated which bank can give loans at cheap interest rates. Even if a bank with a low base rate gives a loan at a competitive interest rate in the market, it still has room to secure enough profit. Even though banks with lower base rates charge higher premiums, they are competitive with the interest rates charged by banks with higher base rates. This means that the Aadhaar rate is lower, which is positive in terms of the bank's profit.

According to the latest update, the base rate of most of the banks has decreased. Banks determine the interest rate by adding a premium to the base rate. When the base rate of banks increases, the interest rate of the loan also increases, while if the base rate decreases, the interest rate of the loan also decreases.

Among the 20 banks in operation, the loan will be available from the National Commercial Bank at the cheapest interest rate. Currently, the base rate of the bank is 8.02 percent. Standard Chartered Bank's base rate is 9.29 percent, Nepal Bank's 9.55 percent, Nabil's 9.65 percent and Nepal Investment Mega Bank's 9.84 percent. These banks can give loans at cheaper interest than others.

Banks charge a premium of 1.5% to 5% depending on the nature of the loan. According to the new interest rate announced by the banks, the average interest rate of loans is currently 10.15 percent.mAccording to the latest update, base rate of Everest Bank is 10.06 percent, Agriculture Development 10.21 percent, Siddharth 10.21, NIC Asia 10.35, Sanima 10.36, Prabhu 10.36 and Global IME Bank 10.37 percent.

Similarly, the base rate of NMB Bank is 10.45 percent, Prime Commercial 10.84 percent, Nepal SBI 10.85, Kumari 10.88, Machhapuchhre 10.92, Himalayan 10.94, Citizen 10.95 and Lakshmi Sunrise 10.96 percent.