Nepal budget has no measures to mop up surging deposits, analysts say

Interest rates have plummeted to historic lows and banks are eager to lend but business houses and entrepreneurs have pulled back from borrowing.

The country’s banking system is awash with cash. More than Rs1.4 trillion that can potentially be lent to businesses and households remains parked in the financial institutions, even as policymakers search for ways to revive investment and economic activity.