Kathmandu. The term of Nepal Rastra Bank Governor Maha Prasad Adhikari is ending on Chaitra 25. A few days ago, the semi-annual review of the monetary policy of the current fiscal year was made public and is the last of Governor Adhikari’s term.
The last monetary review of Governor Adhikari’s term has been seen as liberalizing electric vehicles. The Rastra Bank has also issued instructions to implement the monetary review. The loans available from banks for the purchase of electric vehicles have been tightened.
The Rastra Bank has made arrangements for banks to provide loans of only up to 60 percent of the value for the purchase of all personal and electric vehicles running on petrol and diesel. Earlier, banks were providing loans of up to 80 percent for personal electric vehicles and up to 100 percent for public electric vehicles.
Similarly, the limit for banks to provide loans of up to 50 percent for the purchase of personal vehicles running on petrol and diesel has been increased to 60 percent.
Recently, various schemes are being introduced to encourage electric vehicles around the world. In Nepal too, customer attraction to electric vehicles is increasing.
At such a time, experts say that the NRB is trying to discourage electric vehicles and encourage other vehicles through the review. They say that this could have a negative impact on Nepal’s economy.
Liquidity is accumulating in banks. Credit flow has picked up speed. Automobile entrepreneurs are hoping for some flexible policies. ‘If there had been some flexible policies through the monetary review, the number of people taking loans to purchase electric vehicles would have increased,’ they say, ‘but the NRB has tightened things even more. Now credit flow is decreasing even more.’
