Government to Amend Banking Laws, Strengthen Payment Networks

Kathmandu — Finance Minister Dr. Swarnim Wagle has announced various plans and programmes for the banking sector through the budget.

Wagle said the Banks and Financial Institutions Act and the Banking Offences and Punishment Act will be amended in a timely manner.

The Finance Minister said funds have been allocated to run a credit and livestock programme for poor and small farmers through the Small Farmers Development Microfinance Financial Institution.

He said the amounts in dormant funds at banks and financial institutions will be mobilised for productive activities on the basis of a prescribed legal process, while ensuring that the money is available to rightful claimants when claimed.

Wagle said the national and international payment aggregators and the National Payment Switch will be made effective so that commercial banks and payment-related institutions can sign agreements with international payment networks. He said legal and institutional arrangements will be made for the regulation of payment aggregators.

The Finance Minister said the quality of loans will be assessed by a third party to enhance the effectiveness of subsidised loans. He said the families of Gen Z movement martyrs and the injured will also be included as beneficiaries of this programme.

He said that to increase electricity consumption and control pollution, arrangements will be made to allow the purchase and sale of household electrical appliances such as washing machines, refrigerators, and vacuum cleaners on hire purchase.