Thursday, 29 July, 2021
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Commercial banks credit crosses Rs. 3721 billion while deposit totals to Rs. 4201 billion



commercial-banks-credit-crosses-rs-3721-billion-while-deposit-totals-to-rs-4201-billion

By Ajay Chhetri, Kathmandu, July 21: The deposit and lending of the commercial banks in the Fiscal Year (FY) 2020/21 improved impressively in comparison to the FY of 2019/20.

The monthly statistics of the Nepal Bankers Association published in the mid of July that coincided with the last day of the last FY, revealed that the total deposit in the banks stood at Rs. 4,201 billion and lending totalled Rs. 3,721 billion.

The statistics showed that the credit of the commercial banks increased by Rs. 818 billion in FY 2020/21 in comparison to the FY of 2019/20. In FY 2019/20, the aggregate lending was Rs. 2903 while the lending crossed Rs. 3721 at the end of FY 2020/21.

Similarly, the deposit of the commercial banks in FY 2020/21 increased by Rs. 714 in comparison to the FY of 2019/20. The aggregate amount of the deposit of the FY 2019/20 was Rs. 3487 while the deposit stood Rs. 4201 in the FY 2020/21.

The statistics showed that the deposit reached the highest amount between mid-June and mid-July in comparison to the preceding months. The aggregate deposit increased by Rs. 210 billion in the last month of FY 2020/21. The statistics showed that aggregate deposit amounted to Rs. 4,201 in mid-July which was Rs. 3,991 by the end of the previous month.

Similarly, the commercial banks extended the largest amount of loan between mid-March and mid-April, with an increase of lending by Rs. 161 billion in that month-long period. The statistics showed that the total loan provided by the commercial banks amounted to Rs. 3,573 by mid-April up from Rs. 3,412 of mid-March of the FY 2020/21.