Kathmandu, May 19: The government has started returning savings to small depositors affected by problematic cooperatives, with refunds distributed to 378 depositors on the first day of the programme on Monday.
According to the Office of the Problematic Cooperative Management Committee, 215 depositors from Kantipur Cooperative, 156 from Shiva Shikhar Multipurpose Cooperative, and seven from Pashupati Cooperative received their savings back.
The committee stated that although the first phase focused on depositors with smaller savings, refunds will continue gradually in phases based on the size of deposits.
According to official data, around 76,000 depositors of troubled cooperatives are collectively owed nearly Rs. 46 billion, with the majority being small savers. Depositors have been divided into two categories — those with deposits below Rs. 50 0,000 and those with savings above that amount. Of the total depositors, around 18,000 people have deposits exceeding Rs. 500,000.
Speaking on the issue, Pratibha Rawal said the government is also accelerating loan recovery efforts to support the refund process.
She said borrowers have started repaying loans after the names of debtors from problematic cooperatives were publicly disclosed. The Office of the Problematic Cooperative Management Committee stated that debtors of troubled cooperatives have already repaid more than Rs. 20 million.
According to the committee, loan recovery and depositor refund processes will continue simultaneously. #Nepal
