‘Ensure availability of banks in every local level within two months’

Kathmandu, June 12

The Development Committee of the Legislature-Parliament today directed Nepal Rastra Bank (NRB) and Ministry of Finance (MoF) to ensure that at least one branch of an ‘A-class’ financial institution is opened in every local level within the next two months.

The meeting of the committee gave direction to this effect following complaints that many citizens in the local level are deprived of bank accounts due to lack of banks.

As per the Ministry of Federal Affairs and Local Development (MoFALD), only 392 out of 744 local levels have banks.

“As the country has adopted the federal system, the banks and financial institutions should set up their branches in each local level to ensure that every citizen has access to financial services,” Rabindra Adhikari, chairman of the committee, said.

The committee meeting today had held discussions with different government ministries on issues like bringing uniformity in the works to be carried out by the local level, resources, expenditure and employee management, the progress made so far and the problems seen in the initial phase.

Similarly, the committee also issued a directive to the government to manage the required funds for the local level so that they are able to fulfil the duties and responsibilities constitutionally assigned to them.

Likewise, the lawmakers also urged the government to ensure allocation of adequate resources, including manpower, to the local level at the earliest.

Meanwhile, Chief Secretary Som Lal Subedi stressed that the local levels should build their capacity to implement the rights that are given to them by the constitution.

Addressing the committee meeting, Dinesh Kumar Thapaliya, secretary at the MoFALD, said that the government has recently issued a decree for the operation of local level as the Parliament has not yet passed the Local Governance Act.

Informing that MoFALD is preparing a Good Governance and Integrity Promotion Strategy targeting local units, Thapaliya said that the strategy will be sent to all the local levels before July 9.