Liquidity in Banks Increases in FY End

Jul 09, 2019 02:15 PM Merolagani

Just a week away from FY end, liquidity in commercial banks has increased considerably backed by billions of daily government expenditure.

As per Nepal Rastra Bank (NRB), the banking channel had liquidity of Rs 54 billion on Monday, July 8.

As a result, the average interbank spread rate has decreased to 3.71 percent.

One month earlier, the banking channel had liquidity of Rs 23 billion while the average interbank spread rate was 7.5 percent.

According to NRB, the spread rate of commercial banks only has remained at above 6 percent. On July 8, the government spent Rs 2.77 billion in capital expenditure and Rs 2.90 billion in current expenditure. The payment made in billions has significantly increased the liquidity in the banking sector.  


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Government Fails to Collect Targeted Revenue; Capital Expenditure Nears 70%

Jul 16, 2019 03:53 PM

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