Nepal Rastra Bank (NRB), the central bank of Nepal, Tuesday disclosed the name of 53 defaulters of Nepali banks, who didn't repay the loans amounting to 25 billion Nepali rupees (357.14 million U.S. dollars), local media reported on Wednesday.

"The disclosed list of defaulters incorporates the renowned Nepali businessmen also," according to a private English language national daily, The Kathmandu Post (TKP).

"The top 10 defaulters only have occupied more than 40 per cent share of total defaulted loans with 10.7 billion Nepali rupees ( 152.86 U.S. dollars)," the TKP quoted Bijaya Nath Bhattarai, governor of NRB as saying.

"Most of the defaults are related to Nepal Bank Limited (NBL) and the Rastriya Bank Limited (RBB), semi-government commercial banks of Nepal," Bhattrai revealed.

All the top 10 defaulters had taken loans from these two banks, Bhattarai told the Finance Committee House of Representatives (HoR) , or parliament, of Nepal.

The willful defaulters have posed serious challenges to overall management of small Nepali economy, Bhattarai noted, adding, "The bad loans in Nepal's banking system stand at 18 percent of the investment, almost four times higher than international standard."

He asked the parliamentarians to make the issue of defaulters a national agenda to avert the 'looming crisis' facing the Nepali banking system.

"The defaulters have not shown any willingness to pay the banks despite their blacklisting," Bhattarai said, adding, "So, there is need for concrete actions, like seizing passports and cutting off state provided services to force them clear their financial liabilities."

Source: Xinhua