EMI is calculated using standard reducing balance compounding formula: EMI = [P x R x (1+R)^N] / [(1+R)^N-1], where P is Principal, R is monthly interest rate, and N is the number of months.
NRB Base Rate Guidelines50% DSTI Eligibility LimitReducing Balance Method
Loan EMI & Banking FAQs
EMI is calculated using standard reducing balance compounding formula: EMI = [P x R x (1+R)^N] / [(1+R)^N-1], where P is Principal, R is monthly interest rate, and N is the number of months.