Surkhet businessmen protest high bank interest rate

By Our Correspondent

Surkhet, Oct. 15: Industrialists in Surkhet have protested against the high interest rates imposed by the banks. On Friday, local businessmen under the leadership of Surkhet Chamber of Commerce and Industry shut down Surkhet and submitted a memorandum to the District Administration Office and the Provincial Office of Nepal Rastra Bank citing that the banks have given mental torture to them by increasing the interest rate.

The Surkhet Chamber of Commerce and Industry said that the current capital guidelines 2079 issued by the Nepal Rastra Bank and the banks have favoured the banking sectors and made the private sector bankrupt by imposing high strictly, compelling them to take to the street. 

The agitated businessmen have made a six-point demand in their memorandum.

A single digit should be maintained in the loan interest rate, the banks should not be allowed to charge any fees, including service fees under different headings, the old working capital loan guidelines should be kept in place and the new guidelines should be implemented gradually, they demanded.

The loan interest rates should be restructured, the entire auction process carried out by the banks should be suspended until mid-April 2023.

They have also demanded reduction of the repo issued by the NRB to 1 per cent.

Laxman Kandel, President of Surkhet Chamber of Commerce and Industry, said that if their demands were not met, they would stage a protest.

He claimed that the banks have arbitrarily raised the interest rates and made the businessmen unable to do business, giving them mental torture. 

He said that they submitted their demands to the district administration office and the provincial office of the NRB, and the concerned authorities should address their demands immediately.

Receiving the memorandum submitted by the businessmen, Chief District Officer Khagendra Prasad Rijal promised that the demands would be sent to the concerned agencies.