Kathmandu. Nepal Rastra Bank Governor Maha Prasad Adhikari has said that the economic indicators are generally good. He said this while addressing a program organized on the occasion of the 58th anniversary of the Agricultural Development Bank in Kathmandu on Monday.
He said that despite the recent floods and landslides, the Rastra Bank is strong in the external sector. Claiming that the banking system has good liquidity and banks are well capitalized, Governor Adhikari said that there has been some slowdown in the economy due to chaotic activities that incite bank defaults.
Governor Adhikari said, “The fundamentals of the economy as a whole are very good. We are strong in the external sector. We have seen a huge impact from floods and landslides recently. As a result, inflation in the food and beverage sectors has increased slightly. However, on average, inflation has remained within the target set by Nepal Rastra Bank so far. The liquidity in the banking system is very good.
Banks are well capitalized. Although there is a little stress in profits. There is a recovery. We have seen that clearly. The stress in recovery is guided by two types. We see the impact of a slight slowdown in the economy. There is a kind of chaotic activity and the impact of chaotic activity that incites bank loans to be repaid is also there in many places. Despite this, bank friends are working at the grassroots in their places.”
Governor Adhikari said that the impact of chaos in the banking system will affect the economy in the long term. He claims that such issues of chaos will not last forever.
प्रतिक्रिया दिनुहोस्