KATHMANDU: Nepal Rastra Bank (NRB) has announced a policy to make financing easier for large electric vehicles used as public transport.
Governor Dr. Bishwo Nath Poudel made the announcement while unveiling the Monetary Policy for FY 2026/27 on Tuesday.
Under the new policy, NRB will introduce a special provision to ease the loan-to-value (LTV) ratio for large electric public vehicles. The central bank has not yet disclosed the revised LTV limit.
The monetary policy does not introduce any changes for private vehicles. At present, banks and financial institutions can finance up to 60 percent of a vehicle’s value. Buyers must make a 40 percent down payment.
The revised policy is aimed only at large EVs used for public transportation. It supports the government’s plan to promote electric buses and accelerate the transition to cleaner public transport.
Previously, the LTV ratio for EVs was 80 percent before being reduced to 60 percent. Auto industry stakeholders have been urging NRB to restore the 80 percent financing limit.
The exact LTV ratio for large electric public vehicles will be known after NRB issues its detailed implementation circular.
