Nepal Bankers’ Association (NBA) has added Prime Bank, Nabil Bank, and Bank of Kathmandu to the list of banks which are allowed to import gold for the domestic market.
Prior to this move, only four banks - Standard Chartered, NMB, Machhapuchhre and NIC - were importing gold.
Now the number of banks permitted to import gold in the country stands at seven.
Given that the total gold demand is some 25 kg a day, the banks have not been able to supply the required amount of gold to the traders.
Only 410 kilos of gold has been imported in 50 days instead of 500 kilos as per the gold import quota provided to the bankers.
Nepal Gold and Silver Dealers’ Association (NEGOSIDA) has also asked the Nepal Rastra Bank (NRB) to increase the import quota beyond the current 10 kilos limit per bank.
This marriage season, demand for gold in the domestic market is anticipated to surge from 25 kilos to 30 kilos a day.