PAN now required for loans exceeding 25 lakhs

KATHMANDU:A permanent account number has been made mandatory for those who take out loans of more than 25 lakh rupees from banks and financial institutions.

Previously, the ceiling was Rs 50 lakh. On Friday, Nepal Rastra Bank issued a single instruction requiring the acquisition of a permanent account number when disbursing loans of 25 lakhs or more, either separately or in one lump payment.

On Friday, the Nepal Rastra Bank issued such orders to implement the policies outlined in the monetary policy.

According to Rastra Bank, if there are other borrowers in the same group who have taken a loan for more than 25 lakh rupees, and the other borrower has to take another loan for less than 25 lakh rupees, PAN is required even though the loan is for less than 25 lakh rupees.