Nepal Rastra Bank’s Capital and Reserve Jump 33.1% to Rs 681.3 Billion – NRB Annual Report 2025/26

According to the Nepal Rastra Bank (NRB) Central Bank Survey – Mid-September 2025, the capital and reserves of NRB recorded a significant annual growth of 33.1 percent, reaching Rs 681.28 billion compared to Rs 511.78 billion a year earlier. This sharp increase reflects the central bank’s strengthened balance sheet and growing resilience in managing Nepal’s monetary and financial stability.

The growth was primarily fueled by valuation gains from foreign exchange reserves, which rose by 34.3 percent to Rs 2.74 trillion, alongside improved profitability from NRB’s foreign investments and gold holdings. Gold investments alone surged 55.1 percent, reaching Rs 132.05 billion, while foreign exchange holdings climbed by Rs 653.39 billion. This indicates a steady rise in foreign income and asset revaluation due to global market conditions and a stronger U.S. dollar.

Simultaneously, NRB’s total assets expanded by 32.7 percent to Rs 2.85 trillion, supported by growth in external reserves and sound monetary management. The central bank’s net foreign assets (NFA) increased by Rs 697.5 billion, reflecting a healthier external position. These improvements allowed NRB to accumulate higher reserves and expand its capital base while maintaining liquidity in the financial system.

However, while capital and reserves surged, claims on the government and private sector declined, signaling limited domestic credit exposure. The deposit auction/standing deposit facility also expanded by 183.5 percent, showing tighter liquidity absorption operations by NRB to manage money supply.