Ceiling for interest rate of credits of cooperatives fixed at 14.75%

KATHMANDU, September 24
The government has capped the lending rate for cooperatives at 14.75%.
With the enforcement of the new rule introduced by the Department of Cooperatives (DoC), cooperatives will not be allowed to charge more than 14.75% interest rates on loans that they float to their members. The new rule on the interest rates of the cooperatives will come into effect from Kartik 15, 2077.
Following the decision of the Reference Interest Rate Determination and Recommendation Committee, the Department of Cooperatives (DoC) has set the upper limit of lending rates for the cooperatives across the country.
Similarly, the department has also fixed the maximum interest rates spread of a cooperative to 6%. This means that the difference between the deposit and loan rates of a cooperative should be below 6%.
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