The bank is issuing the repo to prevent a shortage of investment capital in banks and the financial systems. The repo will mature on October 19.
NRB issues short-term repo if there is a liquidity shortage in the banking system.
Before this,
NRB had sent Rs 30 billion to market through repo. Banks and financial institutions use the repo, inter-bank lending, and Standing Liquidity Facility (SLF) in case of a liquidity crunch.
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