.Establishment, Objectives and Functions, Duties and Powers

                     Chapter - 2


Establishment, Objectives and Functions, Duties and Powers

3. Establishment of the Bank:

 (1) There shall be a Central Bank established in the name as NEPAL RASTRA BANK in order to carry out 
the functions of Central Bank.

(2) The Nepal Rastra Bank established under the Nepal Rastra Bank Act, 2012 (1955) shall be deemed to have been established under this Act.

(3) The Bank shall be an autonomous and corporate body with perpetual succession.

(4) There shall be a separate seal for transaction of business of the Bank.

(5) The Bank may, subject to this Act, acquire, utilize, retain, sell and otherwise dispose of or manage movable and immovable property.

(6) The Bank may sue in its name and the Bank may also be sued in the same name.

(7) The Central office of the Bank shall be located at Kathmandu and the Bank may open branch, sub-branch and other offices at any place within and outside
Nepal and appoint agent or representative as per its requirement.

4. Objectives of the Bank: 

(1) The objectives of the Bank shall be as 
follows:-

(a) To formulate necessary monetary and foreign exchange policies in order to maintain the stability of price and balance 
of payment for …..
economic stability and sustainable
development of economy, and manage it;

(b) To increase the access of the financial service and increase the public confidence towards the banking and financial system by maintaining stability of the banking 
and financial sectors,

(c) To develop a secure, healthy and efficient system of payment;

(d) 👉…..

(e) 👉….

(2) The Bank shall, without any prejudice to the objectives referred to in Sub-section (1), extend co-operation in the implementation of the economic policies of Government of Nepal.

5. Functions, Duties and Powers of the Bank: 

(1) In order to achieve the objectives referred to in Section 4, the functions, duties and powers of the Bank shall be as follows:

(a) To issue bank notes and coins;

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👉Deleted by Republic Strengthening and Some Laws Amendment Act, 2010.

👉 Deleted By Second Amendment

👉 Added By Second Amendment


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