Development Banks have revised the interest rates for the Month of Poush 2081. The new interest rate will be effective from 1^st Poush 2081. Market is full of liquidity and available deposit with BFS has reached to Rs.6.64 trillion as per the data published by NRB dated 11/12/2024. Lending however have not gained the momentum and struggling to take the speed and stands at Rs. 5.32 trillion.  Due to availability of excess liquidity in the market, the interest rates have seen a decrement right from the beginning of current fiscal. Development Banks have published their interest rates effective for Poush 2081 and it shows that the interest rates is either same of is in decreasing trend. In this article we shall look into the revised interest rates of National Level Development Banks for Poush 2081.

Saving Account:

All Banks except Muktinath Bikas Bank and Mahalaxmi Bikas Bank published the same minimum rate of interest on saving account as that of Mangshir. Lower Band of interest rate on saving account published by all the national level development banks is at 3% whereas maximum band of interest rate on saving account was published as 5% by 5 Development Banks. Mahalaxmi Bikas Bank published upper band rate as 4.85% while Kamana Sewa Published 4.5% followed by Sangrila Development Bank with 3.5%  on its saving account being the lowest amongst peer.

 

Banks	Poush 2081	Mangsir 2081	Change	Poush 2081	Mangsir 2081	Change
	Minimum Rate			Maximum Rate
Mahalaxmi	3.00%	3.05%	-0.05%	4.85%	5.05%	-0.20%
Lumbini	3.00%	3.00%	0.00%	5.00%	5.00%	0.00%
Kamana	3.00%	3.00%	0.00%	4.50%	5.00%	-0.50%
Jyoti	3.00%	3.00%	0.00%	5.00%	5.00%	0.00%
Muktinath	3.00%	3.02%	-0.02%	5.00%	5.02%	-0.02%
Shangrila	3.00%	3.00%	0.00%	3.50%	3.50%	0.00%
Garima	3.00%	3.00%	0.00%	5.00%	5.00%	0.00%
Shine	3.00%	3.00%	0.00%	5.00%	5.00%	0.00%

 

Call Account:

On call account also, all banks offered same interest rate of 1.50%. Mahalaxmi Bikas Bank and Muktinath Bikas Bank were the only two banks who changed the interest rates on call account from Mangshir 2081. Mahalaxmi Bikas Bank decreased its rate to 1.50% from erstwhile 1.525% whereas Muktinath Bikas Bank decreased its rate from 1.510% to 1.50%.

 

Banks	Call
	Poush 2081	Mangsir 2081	Change
Mahalaxmi	1.500%	1.525%	-0.025%
Lumbini	1.500%	1.500%	0.000%
Kamana	1.500%	1.500%	0.000%
Jyoti	1.500%	1.500%	0.000%
Muktinath	1.500%	1.510%	-0.010%
Shangrila	1.500%	1.500%	0.000%
Garima	1.500%	1.500%	0.000%
Shine	1.500%	1.500%	0.000%

 

Fixed Deposit:  

Individual FD:

Four of the development banks have maintained same maximum rate as that of Mangshir as 5.25% for fixed deposit for duration less than 1 year. Jyoti Bikas Bank has decreased its erstwhile maximum interest rates by 2% from 5.50% to 3.50%, followed by Shangri-la Development Bank with reduction by 0.25% to 5% down from 5.25% of Mangshir 2081. Muktinath Bikas Bank and Mahalaxmi Bikas Bank each decreased their rate by 0.05% to offer interest of 5.05% and 5% respectively.

 

For individual fixed deposit of duration more than a year, all banks offer same rate of interest as 6.50% upper band. Only Bank to downsize its interest rate is Kamana Sewa Bikas Bank which decreased its rate from 6.75% to 6.50% on fixed deposit above 1 year.

 

Banks	Individual - Fixed Deposit
	Poush 2081	Mangsir 2081	Change	Poush 2081	Mangsir 2081	Change
	Less Than 1 Year (Maximum Rate)			More than 1 Year (Maximum Rate)
Mahalaxmi	5.00%	5.05%	-0.05%	6.50%	6.50%	0.00%
Lumbini	5.25%	5.25%	0.00%	6.50%	6.50%	0.00%
Kamana	5.25%	5.25%	0.00%	6.50%	6.75%	-0.25%
Jyoti	3.50%	5.50%	-2.00%	6.50%	6.50%	0.00%
Muktinath	5.05%	5.10%	-0.05%	6.50%	6.50%	0.00%
Shangri-la	5.00%	5.25%	-0.25%	6.50%	6.50%	0.00%
Garima	5.00%	5.00%	0.00%	6.50%	6.50%	0.00%
Shine	5.15%	5.15%	0.00%	6.50%	6.50%	0.00%

 

Institutional FD

On Institutional Fixed Deposit for duration less than a year, Shine Resunga Development Bank offered the highest rate lowest rate of 4.15%. Muiktinath Bikas Bank offered 4.05% whereas Jyoti Bikas Bank offered interest rate of 3%. All banks except three offered interest rate of 4% for institutional FD less than a year. Garima Bikas Bank offered highest interest rate of 5.5% for institutional FD of 1 year. For institutional FD more than 1 year 6 banks offered interest rate of 5.50% whereas Lumbini Bikas Bank and Shangri-la Development Bank both offered rate of 5%.

 

Kamana Sewa Bikas Bank and Sangrila Development Bank were the only banks to change their erstwhile interest rates, both these banks reduced their institutional deposit rate for more than a year by 25 basis point as compared to Mangsir 2081.

 

Bank	Institutional - Fixed Deposit
	Poush 2081	Mangsir 2081	Change	Poush 2081	Mangsir 2081	Change
	Less Than 1 Year (Max)			More than 1 Year (Max)
Mahalaxmi	4.00%	4.05%	-0.05%	5.50%	5.50%	0.00%
Lumbini	4.00%	4.25%	-0.25%	5.00%	5.00%	0.00%
Kamana	4.00%	4.00%	0.00%	5.50%	5.75%	-0.25%
Jyoti	3.00%	3.50%	-0.50%	5.50%	5.50%	0.00%
Muktinath	4.05%	4.15%	-0.10%	5.50%	5.50%	0.00%
Shangrila	4.00%	4.25%	-0.25%	5.00%	5.25%	-0.25%
Garima	4.00%	4.00%	0.00%	5.50%	5.50%	0.00%
Shine	4.15%	4.15%	0.00%	5.50%	5.50%	0.00%