Nepal Rastra Bank's supervision report has flagged persistent loan evergreening practices among banks, where institutions are rolling over overdue loans, issuing new credit to repay old debts, and temporarily closing loan accounts to improve the appearance of quarterly financial statements. The central bank's findings show non-performing loans at commercial banks rose from 2.98% in FY2022/23 to 4.44% in FY2024/25. The International Monetary Fund has also separately raised concerns about asset quality in Nepal's banking sector. No official bank-by-bank breakdown was included in the summary of findings.