Nepal Rastra Bank’s Assets Surpass NPR 2.38 Trillion by End of Chaitra 2081

Nepal Rastra Bank (NRB) has published its provisional financial statement for the end of Chaitra 2081, showing a significant increase in the central bank’s total assets and liabilities. Compared to Ashadh-end 2081, NRB’s financial position has strengthened notably.

As of Ashadh-end 2081, the total assets and liabilities stood at NPR 2.07 trillion. By Chaitra-end, this figure surged to NPR 2.386 trillion — a growth of over NPR 319 billion or more than 15%, reflecting improved monetary strength and liquidity in the central bank’s books.

Major Rise in Foreign Currency Assets

The most notable development was the sharp increase in foreign currency assets, which rose from NPR 1.965 trillion to NPR 2.282 trillion. This increase of over NPR 317 billion was driven by:

• Term deposits with foreign banks: NPR 671 billion

• Investments in foreign securities: NPR 1.239 trillion

• Gold certificate holdings: NPR 111 billion

These figures indicate that NRB has not only expanded its foreign exchange reserves but also diversified its holdings strategically. Meanwhile, foreign currency liabilities dropped from NPR 51.8 billion to NPR 46.3 billion, reducing external risks and strengthening the net reserve position.

Domestic Currency Activity on the Rise

In the domestic currency segment, total liabilities increased to NPR 1.664 trillion from NPR 1.466 trillion, driven by:

• Currency in circulation: NPR 736.8 billion (up from NPR 680 billion)

• Deposits from banks and financial institutions: NPR 284.7 billion

• Government deposits: NPR 340.5 billion (a massive jump from NPR 63.9 billion)

This surge in government deposits suggests an increase in fiscal surplus or temporary inflows, while the increase in circulating currency implies higher liquidity and market activity.

Meanwhile, local currency assets rose slightly from NPR 101.8 billion to NPR 104.2 billion. Key asset classes include:

• Government securities: NPR 25.9 billion

• Gold and silver assets: NPR 44 billion

• Other loans and advances: NPR 10.4 billion

Stronger Capital and Reserves

Another highlight is the rise in capital and reserves, which reached NPR 670.5 billion — up from NPR 543.8 billion in Ashadh. This nearly NPR 127 billion increase signals improved retained earnings and profitability, giving the central bank a stronger buffer against financial volatility.

Additionally, the surplus payable to the government declined to NPR 17 billion from NPR 37.2 billion, indicating that a larger portion of the earnings might have been retained to strengthen the central bank’s financial structure.