Nepal's financial inclusion index rises to 0.53 in FY 2024/25: NRB

KATHMANDU: A Financial Inclusion Index released by Nepal Rastra Bank (NRB) on Sunday showed Nepal's financial inclusion index rose from 0.47 to 0.53 in fiscal year 2024/25.

The report said this rise reflects a significant improvement in financial services in terms of access, use and quality.

Prepared using methods similar to those of the Human Development Index, the index is set on a scale from 0 to 1, with higher values indicating greater financial inclusion. A total of 55 indicators were used under three broad categories: access, use and quality, the report said.

According to the report, the access index stood at 0.53, indicating expansion of banking and financial institutions and a rise in digital transactions. The use index was 0.54 and the quality index 0.50.

The NRB credited its policy initiatives, the adoption of digital financial innovation and strengthened oversight with the improvement in the index, the report said.