Nepal Rastra Bank Set To Announce Monetary Policy For Fiscal Year 2080/81 Today

July 23, 2023 | Investopaper

As the overall economy teeters on the brink of recession, all eyes are on the monetary policy of the current financial year. Stakeholders anxiously await the announcement of the monetary policy as it holds significant implications for the country’s economic trajectory.

Nepal Rastra Bank, the country’s central bank, has confirmed that it will unveil the monetary policy for the financial year 2080/81 on Sunday. The announcement will be made during a press conference at 3 pm, following the final meeting of the Board of Directors of the Central Bank and the completion of necessary preparations.

With the economy seeking balance, the Central Bank has assured that it will take appropriate measures to stabilize the situation. Business communities are eagerly anticipating a potential reduction in interest rates through the policy. The tightening of working capital loans has been a cause of concern for many businessmen, who are finding it challenging to sustain their operations.

In the formulation of the monetary policy, Nepal Rastra Bank sought suggestions from various stakeholders, including around 50 associations, experts, banks, financial institutions, and representatives from the private sector. The Finance Committee under the House of Representatives also urged Governor Maha Prasad Adhikari and the Executive Directors of the central Bank to develop a policy that fosters economic activities.

Governor Adhikari has expressed his readiness to align the monetary policy with the government’s budget, indicating a commitment to promote economic growth and stability. As the clock ticks towards the much-anticipated announcement, the nation waits to learn how the monetary policy will address the pressing economic challenges ahead.