The bank is issuing treasury bills (T-Bills) and development bonds to borrow internally.
NRB is issuing 6 yearly ‘Development Bond 2086 F’ worth Rs 10 billion on August 4.
According to the NRB, interested BFIs, non-banking financial institutions, insurance companies, organized institutions and Nepali citizens can apply for the development bonds.
The interested parties can participate in both competitive and non-competitive auction. The central bank has allocated 85 percent of issued development bonds i.e. Rs 8.5 billion for competitive and 15 percent i.e. 1.5 billion for non-competitive auctions.
The bidders can bid for a minimum of 50,000 and maximum of all amounts divisible by 50,000 by August 3, 3:00 PM.
The interest rate of the bond will be fixed on the basis of bidding while the interest will be paid semiannually. The bond is tradable in the secondary market and can be kept as collateral in BFIs.
