Foreign Employed Individuals to Get Collateral-Free Loans
July 26, 2024 | Investopaper
In the monetary policy for the fiscal year 2081/82 (2024/25), Nepal Rastra Bank has introduced a provision for providing collateral-free loans to individuals seeking foreign employment. This initiative, also highlighted in the current fiscal year’s budget, aims to facilitate easier access to credit for those obtaining labor permits for overseas work.
The monetary policy aligns with the budget’s goals to ease loans for the agriculture and innovation sectors. The policy specifies that collateral-free loans will be available to those who send remittances to their bank accounts, as stated in the budget speech. Additionally, it aims to streamline loan processes for agricultural produce and encourages loans for innovation. To promote entrepreneurship among youth, the policy also focuses on providing simpler and more accessible credit options.
Furthermore, to address issues in the cooperative sector, Nepal Rastra Bank will assist the government in resolving these problems. According to the budget statement, the central bank will facilitate the return of savings up to five lakh rupees for depositors in troubled cooperatives, protecting the assets held by the cooperative’s management and family members. The bank will coordinate with the government to implement these measures effectively.
