[1Ropani.com, January 08, 2010 ]
In Nepal Rastra Bank’s (NRB) latest directives, the financial institutions have to keep their real estate and house loan exposure to 40 per cent of the total loan exposure by the end of this fiscal year, to 30 per cent by the end of the fiscal year 2067-68 and to 25 per cent by the end of the fiscal year 2068-69.
Department of Land Reforms and Management (DoLRM) has also started to monitor individual and other companies holding more than 25 ropanis (3.14 acre) in the Kathmandu Valley, 80 ropanis (10.05 acre) in the hills and 11 bighas (17.97 acre) in Tarai districts as illegally.
DoLRM have also approached Nepal Land and Housing Developers Association (NLHDA) to provide details on property holding of its members. NLHDA is completely against its call and have decided to defy DoLRM directives, which ask them to submit details of their landholding at the Land Reforms Office (LROs).
As a part of their protest, NLHDA have formed a five hundred member "protest committee" and group of main "steering Committee". They have announced not to pay bank loans to pressure the government withdraw the decision that came into effect from Wednesday.
Other investors and home loan clients have also urged NRB and DoLRM to work out in its policies.
In a mean while, NRB is preparing to revise its recent directives on real estate particularly to easy residential housing loan exposure by financial institutions.