Very less taking loans from BFIs

March 8, 2023, 10:50 a.m.

KATHMANDU, MARCH 8: The number of accounts opened in the Nepali bank and financial institutions (BFIs) for obtaining loans is 26 times less than that opened for depositing money. This has been revealed by a report lately published by Nepal Rastra Bank.

According to the report, till the month of Poush (December 16 to January 14), the accounts related to deposits numbering 48 million 324 thousand 9 hundred were opened in the BFIs while the number of accounts related to loans stood at 1 million 833 thousand 2 hundred.

The said number of deposit accounts exceeds the total population of Nepal. This is because a single person can open multiple bank accounts in his name in the country.

According to the report of the "Base Survey of Financial Literacy ", a majority of the youths in the country i.e 71.83 percent do not enjoy access to any formal banking channel. "In order to fulfill their financial needs, they tend to rely on local lenders, family members, friends, etc.," the report reveals.