August 25: Foreign investors have shown interest in banks deemed problematic by the central bank, the central bank has said.

Talking to New Business Age, central bank Governor Dr Chiranjibi Nepal said that two groups (one from Japan and other from Europe) have shown interest in investing in problematic banks. “The investment process has already started, and the details will be made public soon,” said the governor.

Governor Nepal said foreign banks’ interest in problematic BFIs in Nepal shows that international investors see opportunities in Nepal, and Nepali banks can approach them to raise their paid-up capital, as required by the monetary policy.

If they are interested in investing in problematic banks, they would definitely be interested in investing in banks that are doing well, said Dr Nepal.

(Read Governor Dr Nepal’s interview in the September issue of New Business Age)