Kathmandu. For the first time, the government is going to make arrangements for reinsurance of deposit and debt protection fund. Nearly five decades after the establishment of the fund, the government is going to make a reinsurance arrangement to transfer the risk of the fund.
Presenting the budget and programme in the federal parliament on Thursday, Finance Minister Poudel said, “Reinsurance will be arranged for the possible risk management of deposit and debt protection fund.” ”
Security fund is not in a position to pay even if the same bank is turned upside down
In its 62nd report, the Office of the Auditor General had suggested reinsurance arrangements, stating that the fund was not in a position to return the insured deposit even if the same bank was turned upside down.
According to the 62nd Annual Report of the Auditor General, the fiscal year 2080. A total of Rs 1,430.45 billion has been guaranteed as deposit security of banks and financial institutions. Based on this amount, the deposits are estimated to be rs 26.83 billion on an average.
The deposit protection risk fund has a total of Rs 9.82 billion, which is insufficient to bear the liability of returning the deposit of Rs 26.83 billion of a bank.
