November 7: The outstanding amount of refinance provided by Nepal Rastra Bank (NRB) stands at Rs 108.49 billion in mid-September 2022. As of mid-September 2022, the outstanding concessional loan is Rs 213.23 billion, extended to 147,926 borrowers, of which Rs 139.67 billion has been extended to 60,302 borrowers for selected commercial agriculture and livestock businesses, the Central Bank stated in the Current Macroeconomic and Financial Situation Report released in October. The report is based on two months' data ending Mid-September of the current fiscal year (FY 2022/23).    
Likewise, Rs 70.10 billion loan has been extended to 84,790 women entrepreneurs. A total of 2,834 borrowers have availed Rs 3.46 billion concessional loan in other sectors.    
Business continuity loan has been extended to the Covid-19 affected sectors such as tourism, cottage, small and medium industries for the payment of salaries to workers and employees in line with the 'Business Continuity Loan Procedure, 2020'. The outstanding loan extended under this provision is Rs 0.90 billion as of mid-September 2022.    
Inter-bank Transaction    
In the review period, the interbank transactions of BFIs amounted to Rs 647.59 billion including Rs 580.52 billion inter-bank transactions among commercial banks and Rs 67.06 billion among other financial institutions. In the corresponding period of the previous fiscal year, such transactions was Rs 648.31 billion including Rs 557.30 billion among commercial banks and Rs 91 billion among other financial institutions.    
The weighted average 91-days treasury bills rate remained at 9.09 percent in the second month of FY 2022/23, which was 3.98 percent in the corresponding period of last fiscal year. The weighted average inter-bank transaction rate among commercial banks, which was 4.75 percent a year ago, increased to 8.50 percent in the review month. The average inter-bank rate of BFIs which is considered as operating target of monetary policy, stood 8.50 percent in the review month. Such a rate was 4.68 percent a year ago.    

Interest Rates    

The average base rate of commercial banks increased to 10.01 percent in the second month of FY 2022/23 from 6.89 percent a year ago. Weighted average deposit rate and lending rate of commercial banks stood at 7.81 percent and 12.06 percent respectively in the review month. Such rates were 4.92 percent and 8.57 percent respectively a year ago.    
Merger and Acquisition    
After introduction of merger and acquisition policy aimed at strengthening financial stability, the number of BFIs involved in this process reached 247 as of mid-September 2022. Out of which, the license of 179 BFIs was revoked thereby forming 68 BFIs.    
Financial Access    
Of the total 753 local levels, commercial banks extended their branches at 752 levels as of mid-September 2022. The number of local levels having branches of commercial bank was 750 a year ago.    
The total number of BFIs licensed by NRB remained 125 in mid-September 2022. As of mid-September this year, 26 commercial banks, 17 development banks, 17 finance companies, 64 microfinance companies and one infrastructure development bank are in operation. The number of branches of BFIs has reached 11,585 in mid-September 2022 from 11,528 in mid-July 2022. -- RSS