Nepal Rastra Bank (NRB) has asked the COVID-19 affected businesses to apply for refinance loans.
Issuing a public notice on Sunday, the central bank has called on the pandemic-impacted enterprises to apply for the refinance loans before December 5. The businesses can receive refinance loans of up to Rs 50 million under the heading.
According to NRB, the businesses that are highly-affected by the pandemic are eligible to receive the refinance loans. The interest rates on these types of loans have been fixed between three percent and five percent.
Last month, the central bank revised the list of businesses highly affected by the pandemic. Private and residential schools, higher secondary schools, colleges and universities, vocational training institutes, preschool and child care centers have been included in the newly-introduced list.
Likewise, land transport, beauty parlors, cosmetic surgery and related businesses, consultancies and health centers and fitness centers have also been considered under the highly affected category. Similarly, publications, media, drugs producers, construction companies, hospitals and nursing homes, under construction hydropower and renewable energy and manufacturing and distribution of home appliances, among others have been categorized under medium-level affected businesses by the pandemic.
As of mid-September, the refinancing amount provided by the central bank at concessional rates has reached Rs. 118.85 billion. A total of 120,715 businesses have availed concessional loans till now.
A total of 51,272 borrowers have benefited under agriculture and livestock business loans. They have taken loans of Rs 121.06 billion. Similarly, 66,690 women entrepreneurs have benefited under the Women Entrepreneur Loan in which Rs 62.37 billion has been utilized. The central bank has stated that 2,753 borrowers have benefited under other headings of concessional loans.