Kathmandu: All banks across Nepal remained closed on Wednesday following violent protests and threats to burn critical financial documents, the Nepal Bankers’ Association (NBA) confirmed.
Association President Santosh Koirala said the decision was made after consultations with Nepal Rastra Bank, the country’s central bank. He explained that threatening messages targeting banks had compelled the industry to suspend nationwide operations for a day.
Koirala added that as the Nepal Army has now assumed control of security arrangements, stability is gradually being restored. Banks are expected to begin reopening progressively from Thursday.
Widespread protests and arson on Tuesday caused damage to several bank branches and destroyed many ATMs, though cash reserves remained intact.
One of the most serious incidents occurred at Rastriya Banijya Bank’s New Baneshwor branch, where rioters attempted to break into the vault. Security forces intervened overnight, preventing any theft. While the branch building suffered damage, the vault was left untouched, safeguarding the cash.
At Battisputali, protesters set fire to the Marwari Sewa Samiti building, which also housed a Himalayan Bank branch. The branch was completely destroyed, but CEO Ashok Shumsher Rana confirmed that the vault remained secure and there was no cash loss.
Other ATMs across the country were also vandalized, including those located inside Bhatbhateni supermarkets that were targeted by protesters.
Standard Chartered Bank’s branches in Bharatpur (Chitwan) and Biratnagar (Morang), both located within Bhatbhateni premises, were completely destroyed. Yet, bank officials confirmed that vaults in both branches had kept cash reserves safe.
Similarly, the Central Business Park in Thapathali was burned down in the unrest. This also led to the destruction of Global IME Bank’s branch located inside the tower. While the physical structure was ruined, the bank reported that its vault had withstood the fire.
Koirala, who also serves as CEO of Machhapuchchhre Bank, said service centers of banks housed in various government offices were fully destroyed during arson attacks on public institutions.
“In coordination with Nepal Rastra Bank, we are collecting data on the extent of damage to branches and ATMs nationwide,” Koirala said. “Extension counters and ATMs located in government offices have suffered the most. A few other branches and ATMs were hit by stone-pelting. However, there are no reports of cash theft.”
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