Nepal Rastra Bank (NRB) is to issue repo worth Rs 50 billion for managing the liquidity in bank and financial institutions.
The Central Bank is issuing the repo for liquidity management as a large amount of money would go out from the banking system in the form of revenue upon payment of the first installment of the income tax on January 14. NRB is auctioning the repo today.
The repo is being issued for a total 45 days. The Category A, B and C banks and financial institutions can participate in the bidding process. The repo will mature on February 12, according to the NRB.