Additional working capital and term loans for COVID affected Industries
Kathmandu. Nepal Rastra Bank has come up with the flexible policy that all COVID affected Industries can enjoy additional working capital and term loans onwards. Earlier NRB instructed such leverage for only extremely COVID affected industries.
NRB has issued Integrated Directives – 2077 with an arrangement to give additional loan up to 10 percent of the term loan to the borrowers who have not taken working capital loan.
By analyzing the need of the borrower and the possibility of industry and business, up to 20 percent of the current capital loan can be extended to the borrower who has used the current capital loan for one time and up to 10 percent of the term loan can be extended to the borrower who has not used the working capital loan.
The NRB has paved the way for the disbursement of loans affected by COVID 19 by analyzing the need for revival of business, adequacy of collateral, credit risk management and business proposal of the borrower
While discussing with CEOs on Tuesday Nepal rastra bank governor Maha Prasad Adhikari has instructed banks and finance companies not to compete unhealthily, governor Adhikari instructed CEOs to not to follow the unfair practices.