KATHMANDU: Nepal Rastra Bank Governor Chiranjibi Nepal has stressed on the need of enhancing the efficiency and transparency of banks and financial institutions.

Inaugurating the integrated transactions of the Kumari Bank Limited here on Friday, the central bank governor called on the banks to reach the local levels (village level) as soon as possible since big economic activities are going to take place at the local level and big capital would be required there following the local level elections.

"The banks and financial institutions need to upscale their capacity and increase their outreach to the local level, where a lot of economic activities are going to take place, as well as adopt efficient management practices employing skilled human resources," he said.

NRB spokesman Narayan Prasad Poudel said the capital of the bank has increased nearly four times as per its policy of carrying out integrated transactions, and this has given the motivation to go for integrated transactions.

Chairperson of Nepal Bankers' Association, Anil Keshari Shah, pointed out the need for making the integrated transaction more systematic and transparent for banking and financial reforms.

Similarly, member of board of governors of Kumari Bank, Shovakanta Dhakal, said that they have prepared action plan by increasing capital as per the policy of the Nepal Rastra Bank and the bank has now deposit of Rs 52 billion and issued loans of Rs 45 billion.

Meanwhile, the Kumari Bank has launched integrated transaction from today as per the policy of the Nepal Rastra Bank.

The Kumari Bank started the integrated transactions after merging with Kasthamandap Development Bank, Mahakali Development Bank, Kakrebihar Development Bank and Western Regional Finance Company.

As per the policy of the Nepal Rastra Bank, a commercial bank needs to have paid up capital up to Rs 8 billion and development bank Rs 2.50 billion till July 15.