According to the newly released rates, the average interest rate of banks has decreased to 4.57%, down from 4.68% in Magh. The maximum average interest rate on individual fixed deposits, which stood at 4.6845% in Magh, has declined by 0.1155 percentage points to 4.569% in Falgun. Similarly, the maximum average rate for institutional fixed deposits has also dropped by 0.0515 percentage points during the review period.
Among the 20 operating commercial banks, nine banks have reduced their maximum interest rates on individual fixed deposits, while 11 banks have maintained the same rates as in Magh. The decline in interest rates has been attributed to high liquidity and excess loanable funds within the banking system.
Global IME Bank recorded the largest reduction, cutting its maximum rate by 0.75 percentage points. Its maximum interest rate, which was 5.5% in Magh, has dropped to 4.75% in Falgun.
For Falgun, Nepal Bank is offering the highest maximum interest rate on individual fixed deposits at 5.1%.
Meanwhile, the lowest maximum rate of 4.25% is being offered by Standard Chartered Bank, Agricultural Development Bank, Prime Commercial Bank, Nepal SBI Bank, Everest Bank, and Siddhartha Bank.
In the case of institutional fixed deposits, the highest interest rate stands at 4%, offered by Himalayan Bank, Rastriya Banijya Bank, NIC Asia Bank, and NMB Bank.
This article was originally published on https://bajarkochirfar.com. Translated with the help of AI and reviewed by our editorial team.
