Audit & Compliance
On recommendation from the Accounting Standards Board (ASB), the Institute of Chartered Accountants of Nepal (ICAN) in its Council
meeting held on 13 September 2013 decided to announce the roadmap for implementation of Nepal Financial Reporting Standards (NFRS) including its interpretations. As per the said announcement, Commercial Banks, including State Owned Commercial Banks (Class ‘A’) are required to fully implement NFRS from 2015/16.
Nepal Rastra Bank (NRB) is the Central Bank of Nepal and regulatory body of commercial bank and financial institutions. One of the NRB’s objectives as set out in NRB Act, 2002 is to maintain financial stability. In order to achieve this objective, NRB has issued 23 directives to Banks and Financial Institutions. Out this, directives no. 2, 3 and 12 are related to credit management, single obligor limit and blacklisting requirement. These directives are most important for credit department and revisions/amendments in these directives are made annually.