May 6: Nepal Rastra Bank (NRB) has decided to prepare the monetary policy in around mid-July as it is currently busy studying the impact of coronavirus on the country’s economy. Officials at the central bank informed that they will be able to get a clear picture of the crisis only after the lockdown ends.
Deputy Governor Chintamani Shivkoti informed that the central bank’s board meeting will take further decision on Wednesday (May 6).
“The initial relief package was aimed at providing support up to mid-March,” said Shivakoti, adding, “The second relief package was until mid-July.”
The central bank is now waiting for the lockdown to end to ascertain the exact impact on different sectors in order to prepare the monetary policy.
A committee headed by the Executive Director of the Research Department of NRB, Dr Gunakar Bhatta, is currently collecting data to study the impact of coronavirus on tourism, hotel, aviation and industrial sectors to provide loan assistance.
“The effects of coronavirus on different sectors will have an impact on the overall economy of the country,” said Bhatta.
The committee includes representatives from the BFI Regulation Department, Foreign Exchange Management Department, Payment Department and Supervision Department of NRB as well as chairman of Nepal Bankers Association Bhuvan Dahal as members.