KATHMANDU: Finance Minister Dr. Swarnim Wagle on Tuesday held discussions with chief executive officers of commercial banks, focusing on ways to strengthen coordination between the Ministry of Finance, Nepal Rastra Bank and the banking sector.
The meeting was held in the absence of Nepal Rastra Bank Governor Dr. Bishwo Poudel, the country’s chief banking regulator.
During the discussion, Wagle asked bank CEOs what structural reforms were needed to increase credit flow to productive sectors, what new approaches should be adopted in monetary policy, regulation and supervision, and how coordination among the Finance Ministry, the central bank and commercial banks could be made more effective.
The finance minister said the government had set a clear direction for Nepal’s economic transformation through the national budget and was now focused on its implementation. He added that the meeting was intended to gather suggestions on addressing the challenges facing the economy.
Wagle also asked whether the regulatory, legal and institutional reforms being pursued by the government were sufficient and what additional measures should be considered.
He further sought the bankers’ views on the current state of business confidence, questioning why businesses remained reluctant to expand investment despite historically low lending rates and why demand for credit had not increased.
The finance minister assured participants that the government would not hesitate to introduce legal reforms, streamline administrative procedures and take necessary policy decisions to support economic recovery and growth.
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