Government suspends central bank governor «

Government suspends central bank governor

The government has suspended central bank governor Maha Prasad Adhikari.

According to sources at the Finance Ministry, deputy governor Dr Neelam Dhungana Timalsina has been given the responsibility of acting governor of central bank.

A three-member judicial probe committee led by former judge Purushottam Bhandari has been formed to investigate accusation on governor Adhikari, according to the sources. According to Nepal Rastra Bank Act, formation of judicial probe committee will automatically suspends the governor. The probe team will have to submit the report within a month.

Finance Minister Janardan Sharma has today afternoon blamed governor Adhikari publicly at a program for not cooperating him with, and leaking information to the media.

The blatant attack on autonomous regulatory authority is going to have serious consequences on economy, also at a time, when most of the economic indicators are negative, according to economists, who do not wanted to be named.