Biratnagar, January 15 :

Nepal Rastra Bank (NRB) is to withdraw its shares from the Purbanchal Grameen Bikas Bank (PGBB) in two phases.

Organising a press meet on Sunday, chairman of PGBB, Dipendra Bahadur Chhetri said, “NRB will take out 90 per cent of its shares in the first phase and the remaining 10 per cent shares in the second phase.”

“According to the NRB statute, it can take its shares out when it has to play the role of a monitor and supervisor of any bank. In the present condition, PGBB needs the role of a supervisor and monitor to be played by the NRB. So it (NRB) is going to take out its shares,” said Chhetri.

The NRB has 34.95 per cent shares in this PGBB, which was established in November/December 1992.

“The bank would make its services more people-oriented by diversifying its loan portfolio,” said Chhetri, claiming that the services will be made people-orientated within a few months, improving its (PGBB) weaknesses.

The bank has been providing two kinds of loans — loans with deposits and without deposits — to people. “At present the services of the PGBB has been limited within six months.”

“However the services will be expanded to all the eastern region-based districts shortly,” Chhetri said, adding, “About 55,996 customers in six districts are benefiting by the services of this bank, at present.”

In PGBB, Nepal government has 34.95 per cent shares, 25 per cent shares of different commercial banks and 31.80 per cent shares of the staff and people.