Revision of monetary policy formulation procedure

Nepal Rastra Bank has revised the procedure for formulating monetary policy.

By revising the procedure, the monetary policy review will be made public only 45 days after the end of the quarter. The Rastra Bank said that the procedure has been amended to make the timing of the monetary policy and review public. Since the economic and financial sector data is being collected till the end of March, preparations are being made to publish the monetary policy review by the first week of May.

After analyzing the data up to March, a draft of the monetary policy will be prepared and it will be made public after the discussion of the management committee and board of directors. Currently available data analysis is going on. According to the monetary policy formulation procedure, the process of formulating the annual monetary policy for the next financial year will begin within June 15.

Since the new monetary policy has to be announced by July 15 and the finance policy will come on June 15, there will not be any major changes in the monetary policy through the third quarter review.