Kathmandu, April 27
The executive chiefs of 27 commercial banks have been called by Nepal Rastra Bank, who have been told not to open LCs on luxury commodities on April 4th. The majority of banks followed the NRB’s directions to Baluwatar. The banks were required to follow the regulatory body’s instructions.
LCs were opened for importing various products even the day after the instructions were
provided. The LC has been continually opened till the 5th of this month, according to a high-ranking source at Nepal Rastra Bank, even after the 8th of this month. Nabil Bank has been at the forefront of opening LCs with a considerable outflow of foreign currency following the directive, according to an NRB source.
Navil Bank’s managing manager, Manoj Gyawali, confessed that the bank had established an LC.
He maintains that all of the LCs were opened prior to Rashtra Bank’s direction.
He admitted that LCs were opened in March ”Every year, more automobiles are imported to Nepal as more LCs are opened in March, the last month of the Indian banking system. This year, the same pattern has emerged.”
