Nepal Bankers’ Association (NBA) organized a media interaction program at NBA Office. The program was part of regular press meet where the information related to economic, banking and finance was disseminated to the economic journalists.
The program commenced with a presentation by NBA Executive Director, Mr. Anil Sharma, where he provided insights into both national and global economic landscapes. He shared that the interest rates in major global economies are stable, and we are observing a downward trend in global inflation – however, the global GDP growth is not expected to increase in the next two years as per the reports. He also highlighted some of the country’s macroeconomic indicators which are positive; the interest rate is continuously on the decline, but despite that, we have not been able to observe credit growth as expected. He also shared the challenges observed in the economy and some of the focus areas for NBA to concentrate upon in the days ahead.
NBA President Mr. Sunil KC, expressed gratitude to the media colleagues for their ongoing support. He emphasized that while banking sector have adequate availability of loanable funds, the pace of credit growth remains sluggish, posing a significant concern for the banking industry. He further said that people’s confidence has declined and to overcome from this, all the relevant stakeholders including the Government has a vital role to play.
Additionally, Mr. KC shared some of the concerns faced by banks such as Government’s recent decision to withdraw local level funds (as deposit) from the banks, challenges faced by some banks related to land ceiling, banks not able to receive reimbursement of interest subsidized loans, among others. He stressed out the need for greater focus and intervention of the Government in addressing these matters. Highlighting the performance of the Nepalese banking sector, he said that Nepalese banking sector is sound and resilient performing quite well in comparison to other South Asian countries. He also shared that two important Acts (BAFIA and BOPA) are being amendment and the Bill is presented in the House – NBA expects to hold consultation with the concerned Government agencies to address some of the provisions in the amendment Bill. Emphasizing the importance of responsible media reporting, Mr. KC underscored the crucial role that the media plays in shaping public perceptions of the banking sector, particularly in the backdrop where there are some false news about the banking industry are being observed.
During the program, NBA Executive Committee Member and CEO of Rastriya Banijya Bank, Mr. Kiran Kumar Shrestha highlighted that in order to stimulate the sluggish economic growth, public spending by the Government needs to be increased. He emphasized the potential transformative impact of such investments, particularly in infrastructure development and other large-scale national projects, which are likely to generate a multiplier effect in the economy. He stated that Nepalese banking industry is transparent, competitive and resilient due to well-organized regulations of Central Bank and the banking industry is becoming more efficient.
The program was actively participated by several economic journalists representing different media.
