Kathmandu, July 17: Finance Minister Dr. Swarnim Wagle has stressed that political considerations should never override the independence of the Nepal Rastra Bank (NRB), warning that the central bank’s governor should not be treated like an ordinary government employee who can be transferred or dismissed at will.
Speaking at a discussion on the Bill to Amend the Nepal Rastra Bank Act, 2058 organised by the Public Accounts Committee at Singha Durbar on Friday, Dr. Wagle said preserving the autonomy of the central bank is essential for maintaining economic stability and institutional credibility.
“The Nepal Rastra Bank Act, 2058 contains several progressive provisions, including safeguards to ensure the stability of the governor’s tenure,” he said. “The governor should not be transferred or removed from office in the same manner as bureaucrats. The central bank is an autonomous and independent institution, and political interference could have serious consequences.”
The Finance Minister also underscored the need to update the NRB Act to reflect changing economic and institutional requirements while reinforcing the central bank’s operational independence.
He said the government is working to modernise the structure and governance of the central bank, including reforms to the appointment process and clarification of the duties and responsibilities of the governor and board members.
Dr. Wagle added that the proposed amendment also includes provisions to ensure that officials acting in good faith while carrying out their responsibilities are protected from punitive action.
The discussion forms part of ongoing deliberations on proposed amendments aimed at strengthening the legal and institutional framework governing Nepal’s central bank. #nepal
