Economy on healthy track, Fin Min says

Kathmandu, January 21: Minister for Finance Yuba Raj Khatiwada has said that the country’s economy was moving ahead on a robust, straight and stable track. At a program organized on the 53rd anniversary of the Agricultural Development Bank in the capital city today, Khatiwada said that the nation’s economy was on a prideful state.

Saying that the country’s annual economic growth rate will be between 6 to 8 percent, the finance minister argued “The economy means always ups and downs; it does not always move in a straightway. The trend of the economy is like that of geography.” He claimed that Nepal’s overall financial and banking system is the most robust system in South Asia. “The non-performing loan is unbelievably low. That’s welcoming,” he said.

On the occasion, the finance minister also argued that the inflation rate of 6 percent was not that much panicking. Rational interpretation of economy was needed and we can move on the positive side by holding discussions only after understanding the objective indicators of economy, he said. Also speaking at the program, Deputy Governor of Nepal Rastra Bank (NRB) Chintamani Siwakoti asked the Agricultural Development Bank to focus its investment in agriculture, which has a crucial contribution to the nation’s gross domestic products.

On the occasion, Bank’s Chairman Chhetra Bahadur Sejuwal and Bank’s CEO Anil Kumar Upadhyay promised to make investment in the agriculture sector. The bank has been successful in making deposits of 127 billion and 117 billion loan disbursements (14 million more than of previous year), till mid-January. It, towards concessional agricultural loan, has invested over Rs 5 billion in over 2,500 clients. Bank’s operational profit has reached Rs 5.34 billion with eight percent rise, according to bank CEO Upadhyay. The bank presently limits the non-performing loan at 3.29 percent.

In the aftermath of its AGM in the fiscal year 2075-76 BS, its authorized capital is calculated at Rs 21 billion and the total paid-up capital is Rs 14.98 billion. The bank has its special contribution to the government’s campaign entitled ‘bank account for all’ which was launched with the beginning of the Nepal New Year 2076 BS. Under the campaign, to date, the bank has opened saving banking accounts of over 52 thousand citizens.

The bank distributed 24 percent dividend and a six percent bonus share to its shareholders. The area of loan disbursement mainly covers agriculture, tourism, hydropower, other productive sectors and sectors of its priorities. The bank was established on 7th Magh, 2024 BS with a view to developing the country through the means of agriculture. ‘Bank News’ was released on the occasion. RSS

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