Finance Minister pledges to resolve issue of high bank interests through new monetary policy

Biratnagar: Finance Minister Prakash Sharan Mahat has assured that the issue of high bank interests would be addressed through an upcoming monetary policy.

In his address to a province-level interaction on formulation of budget and revenue policy for the upcoming fiscal year here today, the Minister said the interest rates would be reduced through the monetary policy.

“Private sector knows about causes of economic slowdown,” he said, adding that the liberal monetary political was necessary to address the problem of interest rates. As he shared on the occasion, he has already advised the Nepal Rastra Bank (NRB) to proceed towards that end. “The NRB has taken the matter seriously and I am hopeful of the solution.”

Stating that the central bank was an independent body and it had in one circumstance tightened the monitory, he said, “Now it is urgent to act liberally.”

He took time to stress the need of increasing capital expenditure and resolving the issues like delayed contract process and site clearance causing hurdles in accelerating the development projects. “Efforts for increasing capital expenditure should be taken from the very first day of fiscal year,” the Minister asserted. (RSS)