Kathmandu. Nepal Rastra Bank (NRB) has warned the Board of Directors and Chief Executive Officer (CEO) of Miteri Development Bank Limited for violating regulatory provisions.
According to the first quarterly supervision report of the financial year 2081/82 made public by the Bank Supervision Department, the bank has maintained the maximum interest spread rate set against the Integrated Directive of Nepal Rastra Bank, 2080.
According to the NRB, the bank has issued the Integrated Directive, 2080 BS. Direction No. Contrary to the provision mentioned in point (4) of Clause 15, the interest rate difference was more than 4.60 percent. The NRB has concluded that such an act was against the regulatory framework.
Based on this weakness, the Board of Directors and Chief Executive Officer of Miteri Development Bank Limited were alerted as per clause (a) of sub-section (2) of Section 100 of the Nepal Rastra Bank Act, 2058.
KATHMANDU: Nepal Rastra Bank (NRB) has directed the banks and financial institutions (BFIs) to fully comply with the existing laws, integrated directives and regulatory system, indicating that further action would be taken if such weaknesses were repeated.
