Finance minister urges NRB to act as partner in economic transformation

KATHMANDU: Finance Minister Dr Swarnim Wagle has urged Nepal Rastra Bank (NRB) to move beyond regulation and act as a partner and co‑creator in Nepal’s economic transformation.

Speaking at a meeting with NRB executive directors at the Ministry of Finance, Dr Wagle said the central bank should play an active part in implementing reforms alongside its supervisory role. “Today's discussion won't be limited to just formal remarks. Every issue raised here will be converted into an action plan. If needed, we will form a joint task force, institutionalise policy coordination, and make the decision‑making process even more efficient,” he said.

The minister said there is a rare window of opportunity because of political will for reform and that the foundations for economic stability are in place. “The private sector is ready for opportunities. Now, the state institutions also need to move forward with the same confidence, clarity, and pace. If the government, Nepal Rastra Bank, the banking sector, and the private sector move in the same direction, Nepal's economic transformation won’t just remain a dream — it will enter the phase of implementation,” he added.

Dr Wagle asked the executive directors to propose policy initiatives to help make the government’s announced economic reforms successful, with particular interest in increasing loan disbursement to production‑oriented sectors.

“How can the excess liquidity in the banking system be transformed into production, industry, and employment? How can a healthy relationship be built between the capital market, real estate, banking system, and the real economy? Also, share some information on how to make the coordination between monetary policy and fiscal policy more effective, and how to facilitate digital finance, fintech, alternative finance, startup financing, and new financial instruments,” he said.

He stressed that regulation should aim not only to control but to enable productive economic activity, and urged officials to consider whether the regulatory system is encouraging or hindering innovation.

“Let's discuss not from the mindset of 'this is impossible,' but from 'what should we do to make it possible,'” Dr Wagle said, adding that policy confidence is what the country needs most.

The minister said government reforms are already under way, with legal and institutional changes being accelerated, and called for the monetary authorities to match that pace and commitment. “On behalf of the government, we have clearly taken our responsibility. The process of reform has already started. We are speeding up the necessary legal amendments, institutional reforms, and implementation,” he said.