KATHMANDU, Jan 23: The Ministry of Finance is preparing to grant approval for the merger of Nepal Industrial Development Corporation and Rastriya Banijya Bank from the upcoming meeting of the Council of Ministers. The government had announced the merger between these two bodies in the previous budget speech.
Speaking in a function organized on the occasion of 52nd anniversary of the Rastriya Banijya Bank today, Deputy Prime Minister and Finance Minister Krishna Bahadur Mahara shared that this decision would be endorsed by the Cabinet meeting.
Finance Minister Mahara urged the Bank to release the loan in productive sectors in rural areas. He added that there were rising challenges to uplift the rural economy as the banks and financial institutions were centered in urban areas, and therefore Rastriya Banijya Bank should overcome this challenge.
Similarly, Nepal Rastra Bank governor Dr Chiranjivi Nepal shared that the Rastriya Banijya Bank was preparing to take action against those banks arbitrarily releasing the loans misusing the public deposit seeking maximum profit. He added that the NRB, as the central bank, was monitoring the financial institutions.
The RBB CEO Kiran Kumar Shrestha shared that the bank has total deposit of Rs 138 billion and has released Rs 93.48 billion as loan. He added that the bank has earned total Rs 1.30 billion by mid-January.
On the occasion, bank employees who served over 20 years were feted from long service medal.