KATHMANDU: Nepal Rastra Bank (NRB) has decided to absorb deposits worth Rs 120 billion in a single day due to excess liquidity in the banking system.

The bank is going to withdraw the amount today using the deposit collection tool. The central bank has informed that the bidding for this will be held at 3 pm today.

Interested bidders can bid for a minimum of Rs 100 crore and a maximum of Rs 50 million.

According to the Nepal Rastra Bank, the deposit collection can be bid at interest rate and multi-interest rate.

Only ‘A’, ‘B’ and ‘C’ class banks and financial institutions will be allowed to participate in the bidding of deposit collection equipment. According to the Rastra Bank, the principal and interest of this 19-day deposit collection instrument will be paid on May 13.