Loans issued by banks and financial institutions (BFIs) for imports increased by 32 percent during the first nine months of the current fiscal year, reflecting growing demand for import financing amid sluggish private sector credit expansion.
According to data published by Nepal Rastra Bank, BFIs issued import-related loans worth Rs 165.24 billion as of mid-April, compared to Rs 125.18 billion recorded in mid-July 2025.
In contrast, lending to the real estate sector declined due to reduced activity in property transactions. NRB data shows that real estate loans fell by 3.5 percent during the review period, dropping to Rs 266.37 billion from Rs 275.95 billion.
However, residential home loans of up to Rs 30 million recorded positive growth. The volume of such loans increased to Rs 458.75 billion from Rs 417.56 billion during the same period.
Despite the rise in import and housing loans, overall private sector lending by BFIs grew by only 5.7 percent in the first nine months of the fiscal year. The growth remains significantly below the NRB’s annual target of 12 percent.
With an additional Rs 311.95 billion in loans disbursed during the review period, total private sector lending by BFIs has reached Rs 5.809 trillion.
