KATHMANDU: Nepal Rastra Bank (NRB) has issued a new provision for microfinance financial institutions on Wednesday. The Nepal Rastra Bank (NRB) has made arrangements to relocate branches and offices to facilitate the operation of microfinance institutions affected by the floods on August 26.

As per the provision amended by Nepal Rastra Bank, the branches and offices of the microfinance institutions that have been damaged or inconvenienced in operation due to the natural disaster that occurred on August 26 will not have to take prior approval from the Rastra Bank to resume their services.

The concerned microfinance financial institution may relocate such branch or office to another place or adjust it to another nearby branch as per its need and situation.

After such a branch transfer or adjustment, the concerned institution will have to inform the Nepal Rastra Bank. According to the amended provision, the NRB should be informed within seven days of the transfer or adjustment of the branch.

According to the NRB, this arrangement has been made to provide financial services continuously to the service recipients by removing the obstruction in the service delivery of microfinance institutions in the areas affected by natural disasters.