Gold import hits a new roadblock

From the looks of the things, import of gold and silver will not resume at least in next few days due to delay in framing guidelines regarding import of gold and silver by commercial banks. The Ministry of Commerce and Supply (MoCS) has finally asked the central bank to prepare a guideline for commercial banks, stating terms and conditions for the import of gold and silver.

MoCS request comes after two weeks since the financial ordinance has lifted the ban on the import of gold and silver. However, the ministry has asked the central bank to consult it while preparing the guidelines. We sent the official letter today to Nepal Rastra Bank (NRB), asking to draft a regulation regarding bullion import, said Purushottam Ojha, Secretary at MoCS. The MoCS letter has asked NRB to frame the regulation in coordination with the ministry. Thus, this will take a few days more," said Gopal Kafle, Spokesperson for NRB.

If NRB alone had to prepare the regulation, it would have been ready in a day. But now, we have to prepare it in consultation with MoCS. It may take a little longer," he added. The government officially lifted the ban on import of gold and silver two weeks ago, authorising commercial banks as the sole importer for both gold and silver. However, commercial banks fall under the jurisdiction of NRB.

The central bank is yet to issue guidelines for commercial banks to follow regarding import of the precious metals. Until the guidelines have been issued, commercial banks do not have the authority to import or sell gold and silver to traders. Most importantly, NRB needs to fix the import quota for both the metals.

Source:
tht