Kathmandu, February 3
One week after the Nepal Rastra Bank fined Nepal Bangladesh Bank for its failure to adequately invest in agriculture, the central bank fined three more commercial banks this week.
Civil Bank and Century Bank have been fined after they crossed the stipulated 80 per cent mark of the credit to core capital plus deposit (CCD) ratio whereas Citizens Bank has been fined for its failure to obey a directive on anti-money laundering provisions.
As per the NRB rule on CCD ratio, a bank’s total loan amount should not exceed 80 per cent of the deposited amount in a year. But, as Civil and Century banks issued more loans, they have been fined Rs 3.76 million and Rs 719,760 respectively, according to the central bank.
Likewise, Citizens Bank also paid Rs 2 million in fine.
