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Finance Minister Concerned About Slow Loan Growth

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Mon Jan 20 2025

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Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel expressed concern over the slow loan investment growth during the 58th anniversary celebration of the Agricultural Development Bank (ADBN). He noted that while deposit collections were increasing, loan disbursement was not meeting expectations. 

Minister Paudel urged banks to develop strategies to boost loan growth, which would help increase production, productivity, and create jobs. He also advised ADBN to operate with a more professional approach and maintain strong management-employee relations. Minister Paudel emphasized that achieving the bank's founding objectives should be a priority.

Nepal Rastra Bank Governor Maha Prasad Adhikari acknowledged improvements in the country’s economic and financial indicators and the revival of the economy. He highlighted challenges in loan recovery but reassured that the external sector remains stable and inflation management is within limits. Governor Adhikari praised ADBN’s contribution to the agricultural sector, financial inclusion, and green finance initiatives.

ADBN Chairman Ram Sharan Pudasaini outlined the bank's focus on adhering to laws, risk management, and maintaining credit quality for financial stability. He emphasized business expansion, modern banking, and good governance.

 

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