Relief for flood-hit borrowers: loan instalment deadline extended to end of Poush

Nepal Rastra Bank has extended the deadline for borrowers affected by the floods in the Bhotekoshi and Budhigandaki rivers to pay their principal and interest instalments. Flood-affected enterprises, businesses and borrowers will now be able to pay their instalments by the end of the coming Poush.

The central bank made the provision by issuing a circular to banks and financial institutions on Tuesday. The facility for flood-affected borrowers was granted through an updated unified directive issued to banks and financial institutions.

Under the provision, businesses that suffered losses in the floods have been given an additional three months to pay their principal and interest. The extension is meant to provide relief to affected borrowers who were unable to pay their instalments within the originally set deadline.

Various enterprises, businesses and borrowers were affected by the floods in the Bhotekoshi and Budhigandaki rivers. As per the central bank's directive, banks and financial institutions must make this facility available to the affected borrowers.