Nepal Rastra Bank to Conduct NPR 25 Billion Deposit Collection Auction

Nepal Rastra Bank (NRB) is set to hold an auction and issuance of a NPR 25 billion deposit collection instrument today, Falgun 13. This 22-day deposit collection process will accept bids until 3 PM, with the interest rate to be determined through the bidding process. The principal and interest will be repaid on 2081 Chaitra 6. Bids can range from a minimum of NPR 100 million to a maximum divisible by NPR 50 million up to the total amount, and the instrument can be used as collateral in other banks and financial institutions. Only “A,” “B,” and “C” class institutions licensed by NRB can participate.

The allocation will prioritize the lowest interest rates, with pro-rata distribution applied for bids with the same rate. Approved bid amounts will be deducted from the respective accounts, and insufficient balances may lead to blacklisting. The collected amount, along with interest, will be refunded on Chaitra 6, though it cannot be counted as mandatory cash reserves. For more details, visit https://www.nrb.org.np.