Liquidity Regulation refers to a monetary policy tool used by central banks to regulate the amount of liquidity (the availability of funds) in the banking system. Bank liquidity shortages during the global financial crisis of 2007–2009 led to the introduction of liquidity regulations, the impact of which has attracted the attention of academics and policymakers. Commercial bank performs the act of financial intermediary that gather the money from excess sectors in the form of deposits and lend it to various sectors of economy. Lending is one of the major functions of banking institution. The main objective of the study is to examine the impact of liquidity regulation on bank lending of Nepalese Commercial Bank. The study is based on quantitative nature of secondary data of 10 commercial banks taken as a sample by following simple random sampling method from 2011 to 2020 with 100 observations. Here the dependent variable is bank lending; total loan, bank deposit to total assets and customer deposit to total asset. The independent variable is liquidity regulation; short term loan to total asset, cash reserve ratio and credit deposit ratio. Results of the study have revealed that there is significant relationship between liquidity regulation and bank lending. The findings revealed that credit deposit ratio and cash reserve ratio have the more impact on lending than short term loan to total assets.