IMF Staff Country Reports

Nepal: Selected Issues

Publication Date:

June 11, 2008

Electronic Access:

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Summary:

The rapid growth of the financial system presents a number of challenges to maintaining financial stability in Nepal. There has been a rapid growth of the banking sector over the last few years. State-owned institutions continue to dominate the banking system. Equity market capitalization has increased sharply while government debt markets remain underdeveloped. Despite a challenging macroeconomic environment, the financial performance of the banking system has improved. The rapid increase in credit growth in recent years suggests growing credit risk.

Series:

Country Report No. 2008/182

Subject:

Bank soundness Banking Commercial banks Financial institutions Financial markets Financial sector policy and analysis Nonperforming loans State-owned banks Stock markets

Frequency:

Biannually