Kathmandu, August 30
Different banks and financial institutions are offering auto loans at lucrative rates to customers at the NADA Auto Show, which kicked off in the Capital on Tuesday.
As the NADA Auto Show is regarded as one of the biggest markets for automobile business with thousands of auto-enthusiasts thronging the event, a dozen BFIs that have been participating in the NADA Auto Show are in competition to issue automobile loans at the lowest rate possible.
Almost a dozen BFIs are participating in the NADA Auto Show this year among which Standard Chartered Bank has offered auto loan to its customers at 9.47 per cent per annum.
“We have been issuing auto loans at a lucrative rate every year during the NADA Auto Show and we have been receiving good queries so far in the show this year too,” said an official of Standard Chartered Bank.
Similarly, different other banks like NIC Asia Bank, Himalayan Bank, Global IME Bank and Laxmi Bank, among others have also announced competitive auto loan rates targeting the visitors at the auto show.
While NIC Asia Bank has been issuing auto loan at 11.15 per cent interest rate, Himalayan Bank has announced auto loan at 10.5 per cent interest rate. Likewise, Global IME Bank and Laxmi Bank are issuing auto loans at 11.4 per cent and 10.82 per cent interest rate, respectively.
Shambhu Dahal, coordinator of the NADA Auto Show, said that the annual auto show has also been a good market for banks and financial institutions for the last few years.
“As the NADA Auto Show receives quality visitors, banks and financial institutions can make good business at the auto show which is why there is a sort of competition to issue auto loans at the lowest rates possible,” he added.
According to Dahal, a majority of vehicles sold at the NADA Auto Show are through finance while only a few two-wheelers are sold on cash basis.
Meanwhile, officials of Nepal Automobile Dealers Association (NADA) — the organiser of the event — have said that around 10,000 spectators have visited the event so far. The six-day auto show, which kicked off on Tuesday, aims to draw more than 50,000 visitors during the event.
“The participation in the NADA Auto Show has been increasing every year as the event is regarded as one of the greatest festivals of the domestic automobile industry. This year too, we have been recording good participation and business in the auto show,” said Anjan Shrestha, president of NADA.
A version of this article appears in print on August 31, 2017 of The Himalayan Times.