NRB releasing bonds worth Rs 10 billion rupees Sunday

The Nepal Rastra Bank is issuing NRB bond worth Rs 10 billion in the market on Sunday. The central bank is floating the bond with the target to controlling liquidity by raising surplus funds from the market. Issuing a notice, the bank has urged the concerned to join the purchase of the bonds. Banks and financial institutions of A, B and C category can purchase the NRB bond through online bidding. The bond can be used as collateral to acquire loan. Lately, funds have remained idle in banks and financial institution due to lack of investment opportunities. There is a liquidity of more than Rs. 100 billion, according to the central bank. The bank has been adopting various ways to manage liquidity and has also urged banks and financial institutions to increase investment even by bringing down the interest rate. RSS Source: republica