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WITHOUT F EAR OR FAVOUR Nepal’s largest selling English daily Vol XXVIII No. 207 | 8 pages | Rs.5 O O Printed simultaneously in Kathmandu, Biratnagar, Bharatpur and Nepalgunj 34.0 C 14.5 C Saturday, September 19, 2020 | 03-06-2077 Dipayal Jomsom With festival season close, bank loans for imports halve, bankers’ data shows Low spending outlook around Dashain clearly suggests that Nepal’s economy, 82 percent of which is driven by consumption, will continue to slide, economists say. PRITHVI MAN SHRESTHA & SANGAM PRASAIN tees that a buyer’s payment to sellers KATHMANDU, SEPT 18 will be received on time and if the buyer is unable to make payment on In the first two months of the last fis- the purchase, the bank is required to cal year, NMB Bank had issued letters cover the due amount. of credit, or LCs in common usage, “Based on the issuance of L/C in worth Rs6.5 billion. During the same our bank and overall lending, I don’t period this fiscal year, it has issued think there will be as much consump- them worth just Rs3.5 billion. tion this Dashain as in the past years,” Most of the letters of credit issued said KC. in these two months are to import People consume more food during goods targeting Dashain and Tihar the festival season than at other times festivals, according to Sunil KC, the and they purchase new items includ- bank’s chief executive officer. ing garments, footwear, electronic In normal times this is also the peri- goods and automobiles, according to od the country’s commercial banks economists.
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