Kathmandu. Nepal Rastra Bank (NRB) has introduced a relief policy for banks and financial institutions. Nepal Rastra Bank (NRB) has issued a circular to banks and financial institutions (BFIs) today.

Now, banks and financial institutions will be able to reschedule or restructure their loans by recovering at least 10 percent of the amount.

“In case of loans disbursed to enterprises÷businesses displaced due to Mahendra Highway and Mid-Hill Highway expansion, banks and financial institutions may reschedule or restructure the loan by analyzing the cash flow and income of the borrower and recovering at least 10 percent of the interest required to be paid on the basis of necessity and justification,” the circular states.

Such re-tabulation or restructuring has to be done by Ashad end 2083. According to the NRB, the loan should be classified in at least the same category and the loan loss provision should be maintained at the time of such rescheduling or restructuring.