KATHMANDU 

Development banks have also announced interest rates for the month of Kartik. Nine development banks have reduced interest rates.

Garima Development Bank, Jyoti Development Bank, Kamana Sewa Development Bank, Mahalaxmi Development Bank, Muktinath Development Bank, Sangrila Development Bank, and Karnali Development Bank have reduced interest rates by 0.75 percent. Similarly, Lumbini Development Bank has reduced interest rates by 1.75 percent, and Corporate Development Bank has reduced interest rates by 0.20 percent.

Recently, there has been a liquidity shortage in banks and financial institutions, so it is not possible to expand loans. Therefore, reducing interest rates was not an option for banks.

Along with the interest rate on deposits, the interest rate on loans will also decrease. Banks have the provision to decrease or increase the interest rate by an average of 10 percent when changing the interest rate on deposits. Accordingly, development banks have determined new interest rates for Kartik.