Kathmandu. Nepal Rastra Bank (NRB) has taken action against 6 microfinance institutions for violating the rules.
The supervision of the microfinance institutions of the central bank has taken action against Forward Laghubitta, Dhaulagiri Laghubitta, Matribhuti Laghubitta, NIC Laghubitta, Win Nepal Laghubitta and Sanjivani Laghubitta for violating the regulatory provisions in the fourth quarter. Of these, action has been taken against 4 microfinance institutions for not maintaining the minimum capital fund ratio and 2 for not maintaining the mandatory cash reserves.
According to the provisions of the Rastra Bank, the minimum capital fund ratio should be 8 percent. However, Forward Microfinance has 6.12 percent, Dhaulagiri Laghubitta has 6.38 percent, Mathrubhumi Laghubitta has 4.08 percent and NIC has 6.39 percent. These microfinances have been taken prompt corrective action under Bylaw 3(b) of the Bylaws Regarding Prompt Corrective Action, 2074.
Similarly, the central bank has imposed a fine of Rs 713.88, Rs 1067.40, Rs 1412.91 and Rs 1410.78 to Win Nepal Laghubitta for not maintaining its mandatory cash reserves in Chaitra 2082, April 2082, May and June 2082.
