SC stays NRB’s decision to set an age bar for CEO, board directors of BFIs

Kathmandu / August 13: Supreme Court has stayed Nepal Rastra Bank’s recent decision to set an age bar for chief executive officers (CEOs) and board directors of the bank and financial institutions (BFIs).

A single bench of Chief Justice Cholendra Shamsher Rana on Tuesday issued the ruling ordering the central bank not to issue circular to the BFIs to implement a new rule that has set the age bar of 65 years for the CEO to get appointment or reappointment.

CEO of Prime Commercial Bank Narayan Das Manandhar had filed a writ at the apex court seeking to stay order on the decision of the central bank.

Following the order from the Supreme Court, Manandhar can continue his second term as CEO of the bank. Manandhar was obliged to step down from the post after four days of his reappointment to the post due to the circular issued by the central bank.

NRB had issued a circular to implement a new rule that has set an age bar of 65 years for the CEO to get an appointment or reappointment, according to which the CEO is not allowed to continue to work in any bank or financial institution after crossing the age of 69.