Nepse surges by 63. 24 points on Sunday
The Nepal Stock Exchange (NEPSE) gained 63.24 points to close at 2,227.16 points on Sunday.
Similarly, the sensitive index surged by 14.41 points to close at 424. 93 points.
A total of 12,002,308-unit shares of 266 companies were traded for Rs 4. 37 billion.
Meanwhile, Kisan Lagubitta Bittiya Sanstha Limited and Chandragiri Hills Limited were the top gainers today, with their price surging by 10. 00 percent.
Likewise, NIBL Growth Fund was the top loser as its price fell by 10.00 percent.
At the end of the day, total market capitalization stood at Rs 3. 27 trillion.
Monetary policy for FY 2023/24 sets seven targets
The monetary policy for the fiscal year 2023-34 unveiled by the Nepal Rastra Bank today has set seven various targets.
The structure and targets of the new monetary policy seek to maintain the foreign exchange reserve at a level sufficient to cover the anticipated imports of goods and services at least for seven months.
The monetary policy has determined its policy rates being based on the capacity of the foreign exchange reserves to cover imports and the target annual inflation rate. Additionally, the exchange rate of the Nepali currency against the Indian currency has been maintained as it is.
It aims to keep interbank interest rates within the interest corridor by operating and promoting open market operations based on the position of the operating target.
Similarly, it has set a target of limiting the inflation at 6.5 percent by preventing a pressure on prices by the monetary expansion.
The central bank has accorded priority to shift the fiscal resources to the productive sector in line with the target of achieving six percent economic growth set by the budget for the current fiscal year.
The broad money supply is expected to increase by 12.5 percent and credit to the private sector from banks and financial institutions is likely to go up by 11.5 percent in the current fiscal year.
NRB to issue digital currency
Nepal Rastra Bank is to issue digital currency.
Making public the monetary policy for the fiscal year 2023/24, the central bank said that further works will be carried out on the basis of the study conducted on the issue of digital currency.
Likewise, it is mentioned in the monetary policy to facilitate the collection of revenue by using electronic payment devices in the main offices where public services are provided.
NRB makes public monetary policy for FY 2023/24
Nepal Rastra Bank (NRB) has made public the monetary policy for the fiscal year 2023/24.
The central bank through the policy has dropped the policy rate, and kept intact the mandatory cash ratio and the statutory liquidity ratio of banks and financial institutions.
Similarly, the bank rate has remained unchanged, and the bidding rate in deposit collection has been decreased.
In view of the internal and external economic scenario, the policy rate has reduced 50 base points to 6.5 percent. The bank rate has been kept intact at 7.5 percent while the bidding rate in deposit collection has dropped to 4.5 percent from 5.5 percent.
The secondary market transaction and the bidding in the deposit collection will remain open if the weighted interbank interest rate considered the operation target by the Rastra Bank is higher than the bank rate and lower than the deposit collection rate.
Similarly, the provision of the permanent liquidity facility in the bank rate and the overnight liquidity facility in the policy rate has been kept unchanged.
There will be a provision of providing the permanent deposit collection at the lower limit of the interest rate corridor for making the interest rate corridor effective, according to the central bank.
