Minister promises cheque clearing system in cooperative banks

Finance Minister Janardan Sharma has promised to provide a provision to guarantee the facility of cheque clearing in cooperative banks.

Addressing a two-day conference on microfinance in cooperatives-2021, which began today on the occasion of the 19th anniversary of National Cooperative Bank Limited (NCBL) in Lalitpur, the Finance Minister said discussions were on to provide welfare benefit through cooperative banks or microfinance companies located in rural areas.

He took time to urge cooperative banks to focus on production and job creation instead of competing for profit.

The Finance Minister believes that developing the productive economy should be a priority for cooperative banks and microfinance institutions. He said the government is ready to facilitate the same by making changes in the existing policies. Focusing on manufacturing would help create jobs and reduce poverty, he said.

He also pledged to remove discriminatory provisions in lending . H

e argued that the provision for charging lower interest rate for car loan and higher interest rate for loans to the poor should be adjusted, urging cooperative banks, cooperatives and microfinance institutions to deduct th

e interest rate on the loan.

Former president of National Cooperative Federation of Nepal Keshab Badal, journalist Sharmila Thakuri and top bank officials were honoured at the event. According to NCBL president KP Upreti, NCBL president KP Upreti, physical presence at the event is not welcome and over 600 delegates attended the event virtually.