Nepal Rastra Bank (NRB), the central bank, announced its total assets have exceeded Rs 40.44 trillion as of the end of Bhadra (BS). This marks an increase from Rs 38.74 trillion recorded at the end of the previous fiscal year.
According to the interim balance sheet released by the central bank, foreign currency assets constitute the largest portion of its total holdings, reaching Rs 38.99 trillion by the end of Bhadra (BS). This includes Rs 27.43 trillion invested in foreign securities, Rs 6.39 trillion in fixed deposits with foreign banks, Rs 2.53 billion in gold certificates, Rs 2.44 trillion in cash and bank balances, and Rs 18.44 billion in IMF-related assets.
Local currency assets held by Nepal Rastra Bank amounted to Rs 1.44 trillion by the end of Bhadra (BS). This category primarily includes Rs 91.67 billion in gold and silver assets, Rs 11.64 billion in government bonds, and Rs 12.40 billion in debentures and fixed deposits.
On the liabilities side, foreign currency liabilities stood at Rs 52.34 billion, while local currency liabilities reached Rs 28.76 trillion. Local currency liabilities include Rs 13.65 trillion owed to banks and financial institutions, Rs 7.94 trillion in currency in circulation, Rs 3.46 trillion in deposits from banks and financial institutions, and Rs 3.01 trillion in Nepal government deposits.
Nepal Rastra Bank’s paid-up capital is Rs 5 billion. The bank’s reserve fund also saw growth, increasing from Rs 10.85 trillion at the end of Asar (BS) to Rs 11.10 trillion by the end of Bhadra (BS).
Recent Initiatives and Future Plans
In other developments, Nepal Rastra Bank issued a notice on October 7, 2026, for a one-month deposit collection auction worth Rs 30 billion. The central bank has also invited international bids for minting 400 million new one-rupee coins. Bids for this tender must be submitted to the Currency Management Department at Thapathali by 12:00 PM on November 3, 2026, with the bids scheduled to be opened at 1:00 PM on the same day.
Looking ahead, Nepal Rastra Bank will host the ‘Fourth International Conference on Economics and Finance’ in Kathmandu on April 2 and 3, 2027.
Focus on Madhesh Province
Nepal Rastra Bank has identified several economic challenges in Madhesh Province, recommending efforts to formalize economic activities to expand the tax base. National pride projects under construction or planned for Madhesh Province include the Nijgadh International Airport, East-West Railway, Hulaki Highway, Kathmandu Terai Madhesh Expressway, and the President Chure Terai Madhesh Conservation Program. The construction of the Hulaki Highway is progressing at a comparatively rapid pace.
A study by the central bank highlighted challenges in Madhesh Province, such as increasing financial literacy to enhance financial access for marginalized communities and encouraging the formalization of economic activities to broaden the revenue base. In the fiscal year 2081/82 BS, banks and financial institutions in Madhesh Province disbursed Rs 62.98 billion in loans to the agriculture, fisheries, and forestry sectors, representing 12.70 percent of the total loans extended in the province. The average capacity utilization of major industries sampled in Madhesh Province for the fiscal year 2081/82 BS was 46.47 percent. Loans to the industrial sector from banks and financial institutions in Madhesh Province increased by 5.11 percent to Rs 1.28 trillion in the fiscal year 2081-082 BS. The agriculture sector is estimated to contribute the most to Madhesh Province’s total provincial gross domestic product, at 36.7 percent.
