Kathmandu. KATHMANDU: Nepal Rastra Bank (NRB), the central bank of Nepal, has issued circular to the banks and financial institutions (BFIs) for the implementation of the new provisions of the monetary policy for the current fiscal year.

The central bank has made a provision that the loans issued to enterprises and enterprises in the flood-affected districts including Ilam can be restructured at the request of the borrowers.

The banks and financial institutions are required to restructure the borrowers by recovering at least 10 percent of the interest they have to pay on the basis of need and justification by analyzing the cash flow and income of the borrowers.

At the time of such restructuring or rescheduling, the loan should be classified at least in the same class as it has been classified and the provision of loan loss should be maintained.