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Nepal’s banking system is once again at an inflection point. As Nepal Rastra Bank signals a possible relaxation of blacklisting provisions, a broader debate has quietly emerged within the financial sector. The issue is not merely about easing rules or providing relief to borrowers. It is about preserving the delicate balance between credit discipline and financial stability at a time when both are under strain.

Recent data from the Credit Information Bureau paints a stark picture. Over the past seven fiscal years, the number of blacklisted individuals has surged dramatically, reaching nearly 170,000 by FY 2024-25. The increase has been particularly sharp in the last three years, reflecting deeper structural stress in the economy. Check bounce cases account for a significant portion of this rise, while loan defaults have also accelerated, especially in retail segments such as credit cards, phone loans, and personal borrowing.

This trend cannot be dismissed as a mere statistical anomaly. It reflects underlying vulnerabilities in household finances, business cash flows, and credit underwriting practices. The post-pandemic recovery has been uneven, and many borrowers continue to operate in a constrained economic environment. At the same time, credit expansion in earlier years, particularly in unsecured and consumption-driven lending, is now translating into higher defaults.

Against this backdrop, the central bank’s concern is understandable. A rapidly expanding blacklist can limit access to formal finance and potentially shrink the pool of eligible borrowers. In an economy that relies heavily on small and medium enterprises, such exclusion can have broader implications for growth and employment. The question of whether the current system is overly restrictive is therefore a legitimate one.

However, the issue becomes more complex when viewed from the perspective of financial stability.

Blacklisting in Nepal has evolved into more than just a regulatory mechanism. It serves as a critical tool for enforcing credit discipline. The reputational cost associated with being blacklisted has historically played a significant role in encouraging timely repayment. In a system where formal enforcement mechanisms can be slow and costly, such behavioral incentives are particularly important.

Any move to dilute this signal must therefore be approached with caution.

One of the key concerns raised by the banking sector relates to the composition of blacklisted cases. Not all entries in the blacklist represent the same type of risk. Check bounce cases, for instance, are fundamentally transactional issues between private parties. They do not necessarily reflect systemic credit risk in the banking system whereas loan defaults directly involve public deposits and the integrity of financial intermediation.

Treating these categories uniformly can lead to policy distortions. It risks overestimating the extent of genuine credit stress while underestimating the importance of maintaining discipline in bank lending. A more nuanced approach is needed, one that distinguishes between different types of defaults and tailors regulatory responses accordingly.

Another important dimension is the recent removal of the threshold that previously exempted small borrowers from blacklisting. While this change may have been intended to standardize the framework, it has also contributed to a surge in the number of blacklisted individuals. Defaults on relatively small amounts, including credit card dues and short-term consumer loans, are now being captured alongside larger and more complex cases.

This raises questions about proportionality. A system that imposes identical consequences for vastly different levels of default may end up being both inefficient and inequitable. It can discourage risk-taking among small entrepreneurs while doing little to address larger structural risks.

At the same time, there is a genuine concern within banks that any relaxation of blacklisting provisions could encourage a culture of non-payment. Credit discipline, once weakened, is difficult to restore. Even a perception that enforcement is becoming lenient can alter borrower behavior. This is particularly relevant in the current environment, where recovery efforts are already challenging and non-performing loans remain a concern. The policy challenge, therefore, is not whether to relax or maintain the current system in its entirety. It is about how to recalibrate the framework in a way that preserves its core strengths while addressing emerging weaknesses.

A starting point would be to introduce greater differentiation within the blacklisting system. Separating transactional defaults, such as check bounce cases, from credit-related defaults would improve clarity and allow for more targeted policy interventions. This would ensure that measures aimed at easing business constraints do not inadvertently weaken the enforcement of loan repayment.

Another important step would be the introduction of a structured rehabilitation mechanism. Instead of treating blacklisting as a binary status, the system could allow for graduated re-entry based on demonstrated improvement in repayment behavior. Borrowers who make partial repayments, comply with restructuring agreements, or show consistent financial discipline over time could be moved to a monitored category. This would create incentives for recovery without compromising accountability. The suggestion from the banking sector to allow limited account operations for blacklisted individuals also merits consideration. Maintaining restricted access to banking services would enable better tracking of financial transactions and improve the prospects of loan recovery. At the same time, it would allow businesses to continue basic operations, reducing the likelihood of complete financial exclusion.

Revisiting thresholds and proportionality is equally important. Reintroducing differentiated treatment for small-value defaults could help prevent over-penalization while maintaining strict enforcement for larger exposures. Such an approach would align regulatory outcomes more closely with the scale of risk involved.

Beyond regulatory adjustments, there is also a need to strengthen credit information systems. More granular and real-time data on borrower behavior would enhance risk assessment and reduce reliance on blunt instruments such as blacklisting. A more sophisticated information ecosystem would allow both banks and regulators to identify emerging risks earlier and respond more effectively. The timing of these discussions adds another layer of significance. With key leadership positions at the central bank currently vacant and a new government in the process of formation, the policy direction adopted in the coming months will have lasting implications. This is a period that calls for careful calibration rather than abrupt shifts.

Ultimately, the objective must remain clear. The stability of the financial system depends on a delicate balance. Depositors must have confidence that their savings are secured. Banks must be able to extend credit with reasonable assurance of repayment. The regulator must ensure that this relationship is maintained through credible and consistent policies.

At the same time, the system must remain responsive to changing economic realities. Excessive rigidity can be as damaging as excessive leniency. The goal is not to choose between the two, but to find a balance that supports both discipline and inclusion. A rising number of blacklisted individuals should be seen as an early warning signal. It highlights underlying stress in the economy and points to areas where policy refinement is needed. Addressing this challenge requires a measured approach, one that combines regulatory clarity with practical flexibility.

Nepal’s financial system has made significant progress in recent years in strengthening governance, improving supervision, and enhancing transparency. Preserving these gains is essential. Any reforms in the blacklisting framework must build on this foundation, not undermine it. In the end, the question is not whether the system should be strict or lenient. The question is whether the system is effective. A well-calibrated framework can enforce discipline, support recovery, and promote inclusion at the same time. Achieving this balance will be key to safeguarding financial stability in the years ahead.

The opinions expressed here are personal views

Hospitality is not about beds made or menus served. It is not about ratings, awards, or luxury. Hospitality lives in people whose days begin before the sun rises, whose nights end long after the world sleeps, and whose hands, hearts, and lives are quietly carrying the comfort of strangers.

Before a guest ever steps through the doors of a hotel or lodge, someone has already given pieces of themselves to ensure that their stay will feel seamless. Housekeepers wake up with aching muscles to scrub floors and polish rooms. Servers rise with sore backs to carry trays and balance countless needs at once. Cooks, chefs stand for hours over stoves, blending precision with care, pouring their energy into meals for people they have never met. Maintenance staff move silently through corridors, repairing, adjusting, and fixing problems so that no guest ever notices. Night teams stay alert when the world rests, ensuring safety and calm.

Every uniform hides a story that is seldom told. The receptionist who smiles brightly while registering a guest may have stayed up all night with a sick family member. The server delivering a meal may have skipped breakfast to save money for a sibling’s education. The housekeeper who carefully arranges a room may have carried grief, loss, or exhaustion in silence. The  bellboy lifting luggage may be carrying dreams, responsibilities, and hopes heavier than the bags themselves.

These people work tirelessly, not because someone watches, not because recognition comes, but because they have chosen humanity over convenience. They have chosen to give care, even when the world asks little in return.

Hospitality is not just physical labor, it is emotional endurance. Staff absorb frustration, anger, sadness, and exhaustion from guests without complaint. They remain patient when treated unfairly, calm when faced with unreasonable demands, and kind when their own lives are burdened. Their labor is unseen yet indispensable. A guest may leave feeling comforted, relaxed, and at home but the staff carry the weight of that comfort silently, without acknowledgment.

Consider the housekeeper who bends and stretches hundreds of times a day, arranging every corner perfectly, noticing details no one else would. Consider the cook who prepares hundreds of meals with care, precision, and pride, knowing that food is more than sustenance; it is memory, culture, and love. Consider the night staff who remain awake, vigilant, and alert, ensuring guests sleep safely while they themselves go without rest.

These acts are ordinary only in appearance. They are extraordinary in meaning. Every gesture carries resilience. Every silent effort carries sacrifice. Every patient smile carries courage.

The people behind hospitality carry burdens that go unseen. Festivals pass by unnoticed. Family events are missed. Celebrations are postponed. Life continues for others, while these individuals dedicate their energy to the comfort of strangers. They absorb the world’s fatigue so that guests can rest. They carry emotional weight so that others can feel light.

They endure, not for glory, not for fame, not for recognition. They endure because caring is who they are, even when it costs them dearly.

Guests rarely remember checklists or luxury details. They remember how someone made them feel. They remember the quiet attentiveness of a server who noticed exhaustion. They remember the gentle words of a receptionist who recognized anxiety. They remember the room prepared by hands that cared more than anyone could see. These small acts, invisible to many, leave imprints on the heart that no luxury can replicate.

Hospitality demands strength hidden behind softness. Staff smile when their bodies ache. They speak kindly when their hearts are heavy. They guide with patience when the world is impatient. They offer calm in storms that they themselves are weathering. This is the silent heroism of the industry, the courage to give of oneself endlessly, invisibly, yet meaningfully.

In an era dominated by technology, hospitality reminds us that care cannot be programmed. Systems can manage bookings. Machines can unlock doors. But only humans can sense the subtle weight of a weary guest. Only humans can offer reassurance when words fail. Only humans can create warmth, safety, and dignity.

To truly witness hospitality, one must look beneath the surface. Observe the staff, not the spaces. Watch the hands that clean, the eyes that listen, the hearts that endure. Stand beside them for a moment and feel the exhaustion, the sacrifice, and the unwavering commitment. See the person who left a child at home to support a family, the server who skipped meals to feed others, the housekeeper who worked through illness so that every guest’s experience is perfect. These are the people who make hospitality real.

Their work is the quiet poetry of care. Their labor is the heartbeat of every hotel, resort, and restaurant. Without them, the industry is just bricks and lights, menus and sheets. With them, even the simplest stay becomes unforgettable, even the ordinary becomes extraordinary.

Hospitality is not luxury. It is not perfect. It is endurance wrapped in kindness. It is sacrifice, resilience, and empathy poured into every gesture, every smile, every task. It is invisible labor given freely. It is people choosing humanity over ease, care over indifference, and presence over neglect.

Behind every smooth check-in, every warm meal, every comfortable stay, there is someone who carries more than their job. Someone who gave pieces of their day, their energy, their patience, their heart without expecting anything in return. Someone who stayed strong so that others could feel safe. Someone who worked in silence so that others could rest.

The next time you step into a hotel, a resort, a restaurant, pause. Look beyond the polished floors, the soft beds, and the impeccable service. See the people. See the ones who endured, sacrificed, and gave of themselves so that your experience could be seamless. Honor them silently, appreciate them loudly, and carry their humanity in your memory.

Because hospitality is not a product. It is a human connection. And it lives in people always in the people who choose to care, no matter what they carry in their own hearts.

Prime Minister Sushila Karki has expressed her gratitude to all employees, security personnel, and Nepali citizens who contributed to the successful conduct of the recent House of Representatives (HoR) elections.

The Prime Minister visited Karnali Province today and extended her thanks to everyone involved in ensuring the elections successful, according to her press advisor, Ram Bahadur Rawal.

Formed on September 12 following the historic Gen Z movement held on September 8–9, 2025, the election government’s Prime Minister had been unable to visit Karnali prior to the polls..

She arrived at Rara Lake in Mugu this morning and later traveled to Khalanga in Jumla, where she interacted with district-level security chiefs. During these interactions, she praised the efforts of security forces and government employees for successfully conducting the elections despite limited resources and challenging geographical conditions.

In a meeting with local residents, she especially thanked them for the unity, goodwill, and cooperation they demonstrated in ensuring that the elections were conducted peacefully and successfully.

“The democratic process has been further successful despite adverse conditions in the country, and the credit goes to all Nepali citizens,” the Prime Minister said.

The Prime Minister also visited the Karnali Technical School in Jumla. Established in 2037 BS, the institution is considered Nepal’s first technical school. Students, teachers, and local residents welcomed her warmly by presenting bouquets of rhododendrons.

According to her press advisor, the purpose of the visit was to thank all those who contributed to the successful conduct of the elections and to express gratitude for the public support extended to the government formed for a specific purpose.

The Nepal Stock Exchange (NEPSE) surged by 64. 69 points to close at 2, 877. 03 points on Thursday. 

Similarly, the sensitive index dropped by 11. 63 points to close at 494. 19 points.

A total of 56,920,608-unit shares of 342 companies were traded for Rs 1. 66 billion.

Meanwhile, Corporate Development Bank Limited (CORBL), Salapa Bikas Bank Limited (SABBL) and Reliance Spinning Mills Limited (RSML)​​​​​​​ were the top gainers today with its price surging by 10. 00 percent.

Similarly, Nepal Life Samriddhi Lagani Yojana (NSY) was the top loser as its price fell by 5. 12 points. 

At the end of the day, the total market capitalization stood at Rs 4. 87 trillion.