Project Report

On
“To study the Strength of using CAMELS framework as a tool of
Performance Evaluation for Banking Institutions ’’
Bank of Kathmandu
Everest Bank
NIC Bank

(2009)

Submitted by
Shyam Kr. Ale
Sunita Raj Vaidhya
Kashi Nath Chaudhary
Sita Bhattarai
Bimala Basnet

Submitted to:
KFA, Katmandu

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 CERTIFICATE

This is to certify that Mr. Shyam Kr. Ale has completed her project
report titled
“To study the strength of using CAMELS framework as a tool of
performance evaluation for Banking Institution’’ under my
supervision. To the best of my knowledge and belief this if his original
work and this. Wholly or partially has not been submitted for any
degree of this or any other University.

Date: 2009-11-02
Shanthosh Sharma
(KFA Supervisor)

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 DECLARATION

I hereby declare that this project work entitled To study the

strength of using CAMELS framework as a tool of
performance evaluation for banking institutions is my work,
carried out under the guidance of my company guide MR.
Santosh Sharma. My report neither fully nor partially has
ever been submitted for award of any other degree to either
this university or any other university.

Shyam Kr. Ale

Sunita Raj Vaidhya
Kashi Nath Chaudhary
Sita Bhattarai
Bimala Basnet

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 ACKNOWLEDGMENT

Words are the dress of thoughts, appreciating and acknowledging

those who are
Responsible for the successful completion of the project.

My sincerity gratitude goes to Mr. Santosh Sharma who assigned me

responsibility to work on this project and provided me all the help,
guidance and encouragement to complete this project.

The encouragement and guidance given by Mr. Santosh Sharma

have made
this a personally rewarding experience. I thank him for his support and
inspiration, without which, understanding the intricacies of the project
would have been exponentially difficult.

I am sincerely grateful to my parents and friends who provided me

with the time and financial assistance and inspiration needed to
prepare this training report in congenial manner.

WITH SINCERE THANKS

Shyam Kr. Ale
Sunita Raj Vaidhya

4
 Kashi Nath Chaudhary
Sita Bhattarai
Bimala Basnet

Need of Project

Usually all persons want money for personal and commercial

purposes. Banks are the oldest lending institutions in Nepal
scenario. They are
Providing all facilities to all citizens for their own purposes by
their terms. To survive in this modern market every bank
implements so many new
Innovative ideas, strategies, and advanced technologies. For
that they give each and every minute detail about their
institution and projects to Public.

They are providing ample facilities to satisfy their customers

i.e. Net Banking, Mobile Banking, Door to Door facility, Instant
facility, Investment
facility, Demat facility, Credit Card facility, Loans and
Advances, Account facility etc. And such banks get success to
create their own image in public and corporate world. These
banks always accepts innovative notions in Indian banking
scenario like Credit Cards, ATM machines, Risk Management
etc.

So, as a student business economics I take keen interest in

Nepalease economy and for that banks are the main source of
development.
So this must be the first choice for me to select this topic. At
this stage every person must know about new innovation,
technology of procedure new schemes and new ventures.

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 Meaning of Bank

The word bank means an organization where people and business can invest or borrow
money; change it to foreign currency etc. According to Halsbury “ A Banker is an
individual , Partnership or Corporation whose sole pre-dominant business is banking ,
that is the receipt of money on current or deposit account, and the payment of Cheque
drawn and the collection of cheque paid in by a customer’’.

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 ABBREVIATIONS USED

BOK : Bank of Kathmandu Ltd.

HBL : Himalayan Bank Ltd.
NIC : Nepal Industrial and Commercial Bank
ATM : Automatic Teller Machine
BOD : Board of Directors
C : Capital
A : Assets
M : Management
E : Earnings
L : Liquidity
CAR : Capital Adequacy Ratio
CCR : Core Capital Ratio
NRB : Nepal Rastra Bank
TCF : Total Capital Fund
TRWA : Total Risk Weighted Assets
TCC : Total Core Capital
PL : Performing Loan
NPL : Non- Performing Loan
LLPTNPL : Loan Loss Provision To Non –Performing Loan
LLPTTL : Loan Loss Provision To Total Loan
LLP : Loan Loss Provision
TL : Total Loan
SE : Staff Efficiency
NPAT : Net Profit after Tax
EPS : Earning Per Share
ROA : Return on Assets
ROE : Return on Equity
CRR : Cash Reserve Ratio
C&B : Cash and Bank Balance

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 The Origin and Use of Banks

The Word ‘bank’ is derived form the Italian word ‘banko’ signifying a bench, which was
erected in the market-place, where it was customary to exchange money. The Lombard
Jews were the first to practice this exchange business, the first bench having been
established in Italy A.D. 808. Some authorities assert that the Lombard merchants
commenced the business of money-dealing, employing bills of exchange as remittances,
about the beginning of the thirteenth century.

About the middle of the twelfth century it became evident, as the advantage of coined
money was gradually acknowledged, that there must be some controlling power, some
corporation which would undertake to keep the coins that were to bear the royal stamp up
to a certain standard of value; as, independently of the ‘sweating’ which invention may
place to the credit of the ingenuity of the Lombard merchants- all coins will, by wear or
abrasion, become thinner, and consequently less valuable; and it is of the last importance,
not only for the credit of a country , but for the easier regulation of commercial
transactions, that the metallic currency be kept as nearly as possible up to the legal
standard. Much unnecessary trouble and annoyance has been caused formerly by
negligence in this respect. The gradual merging of the business of a goldsmith into a bank
appears to have been the way in which banking, as we now understand the term, was
introduced into England; and it was not until long after the establishment of banks in
other countries-for state purposes, the regulation of the coinage, etc. That any large or
similar institution was introduced into England. It is only within the last twenty years that
printed cheque have been in use in that establishment. First commercial bank was Bank
of Venice which was established in 1157 in Italy.

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 Origin of Banking in Nepal

Nepal's first commercial bank, the Nepal Bank Limited, was established
in 1937. The government owned 51 percent of the shares in the bank
and controlled its operations to a large extent. Nepal Bank Limited was
headquartered in Kathmandu and had branches in other parts of the
country.

There were other government banking institutions. Rastriya Banijya

Bank (National Commercial Bank), a state-owned commercial bank,
was established in 1966. The Land Reform Savings Corporation was
established in 1966 to deal with finances related to land reforms.

There were two other specialized financial institutions. Nepal Industrial

Development Corporation, a state-owned development finance
organization headquartered in Kathmandu, was established in 1959 with
United States assistance to offer financial and technical assistance to
private industry. Although the government invested in the corporation,
representatives from the private business sector also sat on the board
of directors. The Co-operative Bank, which became the Agricultural
Development Bank in 1967, was the main source of financing for small
agribusinesses and cooperatives. Almost 75 percent of the bank was
state-owned; 21 percent was owned by the Nepal Rastra Bank, and 5
percent by cooperatives and private individuals. The Agricultural
Development Bank also served as the government's implementing
agency for small farmers' group development projects assisted by the
Asian Development Bank (see Glossary) and financed by the United
Nations Development Programme. The Ministry of Finance reported in
1990 that the Agricultural Development Bank, which is vested with the
leading role in agricultural loan investment, had granted loans to only 9
percent of the total number of farming families since 1965.

Since the 1960s, both commercial and specialized banks have

expanded. More businesses and households had better access to the
credit market although the credit market had not expanded.

In the mid-1980s, three foreign commercial banks opened branches in

Nepal. The Nepal Arab Bank was co-owned by the Emirates Bank
International Limited (Dubai), the Nepalese government, and the

9
Nepalese public. The Nepal Indosuez Bank was jointly owned by the
French Banque Indosuez, Rastriya Banijya Bank, Rastriya Beema
Sansthan (National Insurance Corporation), and the Nepalese public.
Nepal Grindlays Bank was co-owned by a British firm called Grindlays
Bank, local financial interests, and the Nepalese public.

Nepal Rastra Bank was created in 1956 as the central bank. Its function
was to supervise commercial banks and to guide the basic monetary
policy of the nation. Its major aims were to regulate the issue of paper
money; secure countrywide circulation of Nepalese currency and
achieve stability in its exchange rates; mobilize capital for economic
development and for trade and industry growth; develop the banking
system in the country, thereby ensuring the existence of banking
facilities; and maintain the economic interests of the general public.
Nepal Rastra Bank also was to oversee foreign exchange rates and
foreign exchange reserves.

Prior to the establishment of Nepal Rastra Bank, Kathmandu had little

control over its foreign currency holdings. Indian rupees were the
prevalent medium of exchange in most parts of the country. Nepalese
currency was used mostly in the Kathmandu Valley and the surrounding
hill areas. The existence of a dual currency system made it hard for the
government to know the status of Indian currency holdings in Nepal.
The exchange rates between Indian and Nepalese rupees were
determined in the marketplace. Between 1932 and 1955, the value of
100 Indian rupees varied between Rs71 and Rs177. The government
entered the currency market with a form of fixed exchange rate between
the two currencies in 1958. An act passed in 1960 sought to regulate
foreign exchange transactions. Beginning in the 1960s, the government
made special efforts to use Nepalese currency inside the country as a
medium of exchange.

It was only after the signing of the 1960 Trade and Transit Treaty with
India that Nepal had full access to foreign currencies other than the
Indian rupee. Prior to the treaty, all foreign exchange earnings went to
the Central Bank of India, and all foreign currency needs were provided
by the Indian government. After 1960 Nepal had full access to all foreign
currency transactions and directly controlled its exports and imports with
countries other than India.

As a result of the treaty, the government had to separate Indian

currency (convertible currency because of free convertibility) from other

10
currencies (nonconvertible currency because it was directly controlled
by Nepal Rastra Bank). In 1991 government statistics still separated
trade with India from trade with other countries. Tables showing
international reserves listed convertible and nonconvertible foreign
exchange reserves separately.

In the context of Nepal having adopted an open economy, an excessive

level of liquidity will initially exert reassure on the balance of payments
and foreign exchange reserve and subsequently cause adverse effects
on he domestic price situation. Thus, it will be necessary to maintain a
balanced monetary position to attain the economic growth rate
envisaged in the plan. The sustainable economic growth can only be
achieved if the monetary balance is maintained.

Another important objective of monetary management is to achieve

maximum mobilization of internal resources.
The monetary policy needs to be oriented towards encouraging the
people to save through the creation of a competitive environment
among banks and financial institutions and motivating the desirous
entrepreneurs to mobilize the available resources through the collection
of' the scattered savings in production and employment
Generating programme in the country. In this perspective, it is
necessary along with a planned process of economic development to
initiate programmes that can create new financial bases for the
economy, consolidate the existing ones and encourage healthy
competition. A review of the requirements and availability of resources
Reveals that there is a tremendous resource gap between resource
requirements arid its availability in the country;
This is indeed indicative of the fact that a large share of private savings
is still lying outside the domain of institutional systems, In this context,
an efficient mobilization of internal resources can further enhance the
participation of the private sector in the economic development of the
nation.

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Lists of Licensed Commercial Banks (Till October 24,
2009 A.D)

Date of
S.N
Name of Bank Establishment Head Office
O
(A.D)
1. Nepal Bank Ltd 1937/11/15 Dharmapath,
Kathmandu
2. Rastriya Banijiya Bank 1966/01/23 Shingadurbar plaza,
Kathmandu
3. Nabil Bank Ltd. 1984/07/16 Shingadurbar plaza,
Kathmandu
4. Nepal Investment Bank Ltd. 1886/02/27 Durbarmarg,
(NBIL) Kathmandu
5. Standard Chartered Bank 1987/01/30 New Baneshwor ,
KTM
6. Himalayan Bank Ltd 1993/01/18 Thamel Kathmandu
7. Nepal SBI Bank Ltd. 1993/07/07 Hattisar , KTM
8. Nepal Bangladesh Bank Ltd. 1993/06/05 New Baneshwor,
KTM
9. Everest Bank Ltd. 1994/10/18 Lazimpat, KTM
10. Bank of Kathmandu Ltd 1995/03/12 Kamaladi, KTM
11. Nepal Credit & Commercial Bank 1996/10/14 Siddarthanagar, KTM
Ltd.
12. Lumbini Bank Ltd. 1998/07/17 Narayangadh,
Chitwan
13. Nepal Industrial & Commercial 1998/07/21 Biratnagar, Morangq
Bank Ltd.
14. Machhapuchhre Bank Ltd. 2000/10/03 Prithvi Chowk,
Pokhara
15. Kumari Bank Ltd. 2001/04/03 Putalisadak, KTM
16. Laxmi Bank Ltd. 2002/04/03 Adarshanagar,Birgung
17. Siddhartha Bank Ltd. 2002/12/24 Kamaladi, KTM
18. Agricultural Development Bank 1968/10/19 Ramshahpath, KTM
Ltd.
19. Global Bank Ltd. 2007/01/02 Birjung, Parsa
20. Citizens Bank Int’ Ltd. 2007/06/21 Kamaladi, KTM
21. Prime Commercial Bank Ltd. 2007/09/24 Newroad, KTM
22. Sunrise Bank Ltd. 2007 Garidhara, KTM
23. Bank of Asia Ltd. 2007 Tripureshwor, KTM
24. DCBL Bank Ltd. 2001/02/01 Kamaladi, KTM
25. NMB Bank Ltd. 2008/05 Babarmahal, KTM
26. KIST Bank Ltd. 2009/05/07 Anamnagar, KTM

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Source: www.nrb.org.np

13
 Introduction of Bank of Kathmandu

Bank of Kathmandu Limited has become a prominent name in the Nepalese banking
sector. Bank of Kathmandu Ltd. Has become a glorify there corporate slogan “We make
your life easier’’. For the success of the above slogan Bank of Kathmandu is committed
to deliver quality service to customers, generating good return to shareholders , providing
attractive incentives to employees and serving the community through stronger corporate
social responsibility endeavor.

Bank of Kathmandu Limited (BOK) has today become a landmark in the Nepalese
banking sector by being among the few commercial banks which is entirely managed by
Nepalese professionals and owned by the general public.

BOK started its operation in March 1995 with the objective to stimulate the Nepalese
economy and take it to newer heights. BOK also aims to facilitate the nation's economy
and to become more competitive globally. To achieve these, BOK has been focusing on
its set objectives right from the beginning. To highlight its few objectives:

To contribute to the sustainable development of the nation by mobilizing domestic

savings and channeling them to productive areas

• To use the latest banking technology to provide better, reliable and efficient
services at a reasonable cost
• To facilitate trade by making financial transactions easier, faster and more reliable
through relationships with foreign banks and money transfer agencies
• To contribute to the overall social development of Nepal

TECHNOLOGY

BOK's IT infrastructure has been designed, to facilitate, internal and customer

convenience. Nationwide, all the branches are connected to the central database via Wide
Area Network (WAN) powered by Finacle, state-of-the-art banking application software
supported by hardware like SUN Fire V880 RISC server, VSAT etc. Internally, BOK
relies on Information & Communication Technology (ICT), for a quick, reliable, efficient
system. Banking operations are powered by Finacle, which is listed among the top 40
companies that have reshaped the global economy as per the Wired Magazine.

FINACLE

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 • BOK takes pride in using Finacle, banking application software, “The Banker”
Technology Award 2004.
• Certified by Information Technology Association of using certified processes and
methods
• One of the first banking products to be JAVAtised to enable to operate
effectively, provide better customer services challenges of the internet paradigm.
• Is installed in more than 400 sites across the world.

INTERNET BANKING

With the aim of providing banking services at the customer's fingertips, BOK is starting
Internet Banking and Alert Service very soon. In Internet Banking, BOK will provide
Consumer e-banking (Core, Retail and Bill Payment) as well as Corporate e-banking
facilities (Trade financing and web based Cash Management).

Board of Directors

Mr. Narendra Kumar Basnyat

Chairman

Mr. Satya Narayan Manandhar

Director

Mr. Bijaya Krishna Shrestha

Director

Mr. Ramesh Nath Dhungel

Director

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 Mr. Govinda Prasad Sharma
Director

Dr. Hem Raj Subedee

Director

Mr. Bishnu Prasad Banjade

(Rep. of Rahul Investment P. Ltd)
Director

Product of BOK

Product and Services Provide by BOK:-

1. Deposit Product:
a. Current Account: To suit every business need BOK has tailor made Current
account which rightly meets your needs in today's faced paced business. With
advanced technological features all your banking needs are well taken care of.

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 You can have access to your account from all our BOk branches in just few
seconds.

Features
Minimum Balance - NPR 10,000 in Kathmandu Valley Branches and NPR
5,000 in Outside Valley Branches

Facilities
i. Anywhere Branch Banking Services
ii. Extended Banking Hours in Kathmandu Valley Branches
iii. Standing Instruction is accepted looking at the feasibility of the
request.
iv. Cash Management
v. Free Cheque book

b. Saving: Bank savings accounts are a critical part of everybody's financial picture. If
you need a safe place to keep money, a bank savings account is often a good choice.
Here’s a quick review of what savings accounts are and why you might want to have a
bank savings account.

Saving account has some of the benefits listed below:

1. Easy access to Bank saving account.
2. Bank saving account grows your money.
3. Bank saving account are relatively save.

Some of the facilities given by BOK in saving account listed below:

i. Ladder Saving : Ladder Savings of BOK not just helps you to save money but also
helps your money to grow, with competitive interest rates on daily balance. This power
packed account is well packaged with all the various banking services. You can earn
interest up to 4.25% on daily balance in this savings scheme.

Features
1. Interest is given on daily balance depending upon the amount deposited.
2. Minimum balance to be maintained in this account is Rs.50,000 only.
3. Ledger fee of Rs.200 will be deducted from the account if the minimum balance is not
maintained.

Facilities

1. Free Anywhere Branch Banking Services

2. Free stop payment processing
3. Free SMS banking.
4. TC/BD issuance at special discount rate.
5. ATM Card (No Issuance charge).
6. Free Good for Payment.
7. Free Balance Certificate issuance.

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8. On demand account statement.
9. Unlimited withdrawals.
10. Free Inward Service

ii. General Saving: General saving offers competitive rate of interest on daily balance.

Features
1. Minimum balance to be maintained Rs. 15,000 only for Kathmandu Valley branches
and Rs. 5000 for outside valley branches.

2. Interest is given on daily balance.

Faclilities :

1. Any where banking services.

2. Free Cheque book
3. Extra hour banking services through evening counters(in Kathmandu Valley
4. Non-restricted transactions for deposits and withdrawals ATM for easy
transactions.
5. Mobile Phone Bill Payment Services ( at standing instruction)

iii. Sajilo Bachat Yojana: To inculcate banking habits among customers BOk
introduced Sajilo Bachat Khata with minimum balance of just Rs. 1000. As the name
Sajilo Bachat Khata suggests it has been made easy, hassle-free, and affordable to
general public. With Sajilo Bachat Khata one can have easy access to modern
banking facilities like ATM, Mobile banking services etc.

Features

1. Easy and hassle-free account opening .

2. Account Operating only at minimum balance of NPR 1000.00
3. Ledger Fee.

Facilities

1. Anywhere Banking Services at real time basis

2. Extra hour banking services through evening counters(in Kathmandu Valley
3. Non-restricted transactions for deposits and withdrawals
4. Free Cheque-book
5. Debit Card facilities for transaction
6. Mobile Phone Bill Payment Services ( at standing instruction)

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Documentation

1. Two Recent Passport Size Photographs of Applicant/Account Operator

2. Evidence of Identification of Account Operator (Citizenship/Passport/Driving License/Voter's
ID)
3. Introduction by an Accountholder of Bank of Kathmandu (If possible)

iv. Griha Laxmi Bachat: BOK has introduced a new saving product targeted especially for
household/working women to offer them the best financial services and the best banking practices. The
main purpose of the product is to inculcate women’s saving habits.

Features:

1. Minimum age should be 16 years to eligibility to open this account.

2. Minimum amount to be maintained is Rs. 5000 inside Kathmandu Valley and Rs. 2500 outside
Kathmandu Valley.

Facilities

1. 2.25% Interest on Daily Basis

2. Quarterly Interest Payment
3. ATM Card and Cheque Book facilities
4. Unlimited Withdrawl Facility
5. Telephone & Mobile Bill Payment
6. SMS Banking

v. Shunya Maujdat ma Sabaiko Bachat Khata:

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 Features:

1. Account Opening at Zero Balance

2. Quarterly Interest Payment
3. Visa Debit Card free with no renewal charge for 5 yrs
4. Free 50 hrs Internet subscription
5. No limitation on withdrawal
6. Utility bill payment Facility
7. Bok Click ( Internet Banking ) Facility
8. Deposit below Npr. 200.00 shall not be entertained

c. Call Account: To
manage large volume of surplus funds of your organization you can open
an Operative Call Account at Bank of Kathmandu and can earn additional earnings for
your excess funds.

Features
1. Either current or saving account to be maintained
2. Interest Calculated on Daily Balance.
3. Withdrawals from this account should be pre-informed.
4. Deposits will be accepted only during working hours only.
5. Cheque book will not be issued for this account.

d. Term Deposit:
1. Fixed Deposit: Tenure ranging from seven days to over three years, Fixed Deposit at
Bank of Kathmandu allows you to diversify your portfolio to best suite your investment
plan.

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 Features:
1. One master account (i.e. Savings or Current) is required to be maintained with the
bank.
2. Interest will be given at maturity.
3. Minimum amount to be deposited is Rs.50, 000.

Facilities
1. Standing instruction or specific instruction could be given at the time of account
opening.

Documentation
1. For organization, a Board minute is required.
2. For Individual 2 set of photographs and the copy of citizenship is required

3. Recurring Deposits:

To build up your savings BOK has introduced Recurring Savings Scheme where in
monthly equated deposits over a fixed period of time yields higher returns.

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1. Kopila Bachat Yojana for minors
2. Mero Bachat Yojana for young age group

Features:

1. Flexible deposit facility.

2. Account for children below 16 years of age for Kopila Bachat and above 16 years for
Mero Bachat.
3. No automatic closure.
4. Quarterly interest payment.
5. Loan up to 90% available against the total account balance.
6. Minimum balance in multiples of Rs. 1000 inside valley & multiples of Rs 500 outside
valley.
7. Depending upon your requirement, savings plan for Recurring Saving Scheme can
range form 2 to 10 years.

2. Loan & Advances:

A. Corporate Credit (Loan):

1. Project Finance (Term Loan): Based on the viability of the project/proposal, Term Loan to finance the long-
term financing need of a firm/company may be made available. This loan is normally provided up to 65% of the
financing requirement with a maximum tenure of 60 months. Terms could vary depending upon the need of the
project.

2. Working Capital Finance: Based on the nature of a business/transaction, various types of working capital
facilities/loans may also be availed. Some of the commonly offered products under this category are as follows:

i. Overdraft: This revolving/open term facility enables a firm/company to manage their varying daily cash
requirement.

ii. Demand / Short-term loan (Trade Finance): These facilities are normally provided to support one-off or any
particular short-term transactions.

iii. Trust Receipt/ Importers Loan (Trade Finance): Majority of the businesses in Nepal depend on imported
items. Short-Term Trust Receipt Loans are the most common/popular product available to finance such
requirement.

iv. Export Loan: Export loan facilitates to the exporters to process/collect stocks for exports.

22
3. Consortium Lending / Finance / Credit: Bank of Kathmandu has developed skills in syndicating large project
loans and has successfully applied them in tying-up a number of large deals.

3. Business Credit (Small & Medium):

1. Demand / Short-term loan (Trade Finance): These facilities are normally provided to support one-off or any
particular short-term transactions.

2. Trust Receipt/ Importers Loan (Trade Finance): Majority of the businesses in Nepal depend on imported
items. Short-Term Trust Receipt Loans are the most common/popular product available to finance such
requirement.

3. Other Types of Business Credit (Loan):

i. Loan against Fixed Deposit: Loan against fixed deposit enables you to manage the short-term cash need
without breaking the deposits.

ii. Loan Against Govt. Bond / 1st Class Bank Guarantee: A low cost secured loan product offered to you for
managing your financing need.

iii. Priority Sector/ Deprived Sector Loan: By virtue of this product small entrepreneur/individual may also avail
loan up to NPR 2.5 million.

iv. Consortium Financing: Bank of Kathmandu has developed skills in syndicating large project loans and has
successfully applied them in tying-up a number of large deals.

4. Consumer Lending / Retail Credit :

1. Housing Loan:

Financing accommodation facility for individuals. Key terms:

• Interest Rate: 9.5% p.a - 11% p.a

• Processing Fee: 1%
• Payment Fees:
• 0.5% p.a if prepaid within one year
• 1% flat if prepaid after one year
• Maximum Finance: 70% of the eligible expenses.
• Repayment System: Equated Monthly Installment.
• Tenure: Maximum 20 years.

2. Vehicle Loan:

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i. Car4U Loan

Financing cars, vehicles for private use. Key terms:

• Maximum Tenure Up to 8 years

• Interest rate 9% p.a - 10.5% p.a
• Processing fee 1 percent
• Maximum Finance: 80% of the cost of vehicle
• Maximum Tenure upto 6 years

ii. LCV Loan / Buses

Financing micro/ mini buses to be operated on commercial basis. Key terms:

• Indicative interest rate 12.0%

• Financing up to 70% of the vehicle
• Maximum Tenure of 4 years

iii. LCV Loan / Trucks

Financing brand new pick up trucks to be operated for transaction of goods. Key terms:

• Indicative interest rate 11.5%

• Financing up to 70% of the vehicle
• Maximum Tenure of 3 years

3. Education Loan:

Financing students for their graduation or post graduation studies. Key terms:

• Maximum Tenure Up to 10 years

• Interest rate 11% p.a.
• Processing fee 1%
• Prepayment Fee 0.5% p.a on the prepaid amount within 1 year, 1% flat on prepaid amount after 1 years
• Restructing fee 0.25% p.a

24
 • Loan Swap fee 2% p.a. on the outstanding amount

4. Festivity Loan:

Key terms:

• Maximum Tenure Up to 10 years

• Interest rate 11% p.a
• Processing fee 1%
• Prepayment Fee 2 % flat on the prepaid loan

5. Foreign Employment Loan:

Financing eligible individuals recommended by His Majesty’s Government going abroad on a pre arranged
employment through a recognized emplo9yment agency .

Key terms:

• Indicative interest rate 11%.

• Financing up to NRP 100,000 or 80% of the Cost whichever is lover.
• Maximum, Tenure of 18 Months.

5. Development Credit: The goal of Development Credit is to provide quality financial services to marginalized
groups and poorer sections of society through intermediaries e.g. Micro Finance Institutions, Co-operatives,
Financial Intermediary Non Governmental Organizations, Development Banks, Community Based Organizations
and other registered organizations.

Products:

1. General Micro Finance

This product has been devised for financing general micro finance loans to clients through partner institutions
involved in offering Micro Finance services.

A micro finance loan is defined as a loan used for various income generating activities including, but not limited to,
purchase of livestock, loans for mini-grocery stores, vegetable loans, etc. Non-income generating loans such as
installing bio-gas units shall also be availed but only with prior approval from Bank of Kathmandu.

2. Agriculture and Forest Based Product Loan:

The product has been devised to allow farmers, agricultural cooperatives, community forest user groups and other
registered institutions engaged in producing and processing agricultural and forest based products to have access
to finance for funding working capital requirements, plantation expenditures and purchasing livestock and
accessories.

3. Equpment Finance:

The product aims to finance the cost of equipments of various purposes to individuals, groups and institutions

25
operating Small and Medium Enterprises with an objective to raise income in rural and urban areas of Nepal.

4. Vehicle and Accessories Finance:

The product has been devised for financing vehicles and vehicle related accessories to self-employed low income
earning entrepreneurs. Loans will be of a Hire Purchase and on an owner-driver concept.

6. Other Products & Service:

• Development Credit
• International Trade ( Letter of Credit , Bank Guarantees etc.)
• Global Banking Solutions (E-Fund Transfer)
• SWIFT Transfer
• Demand Draft
• Traveler’s Cheque
• Remittance
• Debit Card / ATM’S
• Salary Management
• Cash Management
• Gift Cheque
• Safe Deposit Locker
• Gift Cheque
• Safe Deposit Locker
• NRN Banking
• BOK Visa Credit Card

Capital Structure:

Particulars Amount (Rs.)

Authorized Share Capital 1000000000
Issue Share Capital 603141300
Paid Up Capital 603141300

Share Ownership:

Particulars Percentage (%) Amount (Rs.)

Promoters 42% 252170000
Public Share Holder 58% 350971300
Total 100% 603141300

BOK Branches :

S.No. Branch Address

1. Head Office Kamalpokahari, Kathmandu
2. Thamel Branch Thamel, Kathmandu
3. New Road Branch New Road, Kathmandu
4. Butwal Branch Rajmarg Chaurha, Butwal
5. Hetauda Branch Mainroad Hetauda, Makawanpur
6. Dhangadhi Branch Main road chauraha, Dhangadhi
7. Pokhara Branch Newroad, pokhara
8. Biratnagar Branch Main Road Biratnagar
9. Birjung Branch Adarsha Nagar, Birjung, Parsa
10. Amlekhgunj Branch Main Road , Amlekhgunj
11. Itahari Branch Paschim Line, Itahari, Sunsari

26
12. Janakpur Branch Station Road, Janakpur
13. Kohalpur Branch Dus Bigha-13, Kohalpur, Bake
14. Gongabu Branch Samakhushi Chowk, Gongabu,
Kathmandu
15. Tatopani Branch Tatopani, Sindhupalchok
16. Jawalakhel Branch Jawalakhel, Lalitpur
17. Surkhet Branch Birendra Chowk, Birendranagar-6 ,
Surkhet
18. Ghorahi Branch Naya Sadak, Ghorahi, Dang
19. Tulsiur Branch Ka Line BP Chok, Tulsipur , Dang
20. Jumla Branch Chandan Nath VDC 6, Jumla, Karnali
21. Balaju Branch Balaju Industrial District (BID) , Balaju
22. Attariya Branchq Geta V.D.C. -03, Dhangadhi Road,
Attariya
23. New Baneshwor Branch New Baneshwor, Kathmandu
24. Gyaneshwor Branch Gyaneshwor, Kathmandu
25. Tripureshwor Branch Tripureshwor, Kathmandu
26. Chabahil Branch New Baneshwor, Kathmandu
27. Bhaktapur Branch Suryabinayak, Bhatapur

BOK ATMS

 Kamalpokhari, Kathmandu
 New Road, Kathamndu
 Supreme Court, Singha Durbar, Kathmandu
 Krishna Tower, New Baneshwor, Kathmandu
 Jawalakhel, Lalitpur
 Nepaljung
 Pokhara
 Namche
 Surkhet
 Ghorahi
 Butwal
 Chabahil, Chuchhepati, Kathmandu
 Thamel, Kathamndu
 New Road Lounge, Dharmapath
 Gyaneshwor, Kathmandu
 Tripureshwor, Kathmandu

Focus:

Currently at present, BOK has been focusing land on retail banking consumer finance.
Beside this, BOK this , BOK focuses on giving its best services to general public introducing
new ways and means of services. It is slowly following sophisticated banking products and
fee based services. It aims to continue the operation providing goods, services speeding in
opening new branches within the different geographical location. Also, recently it has lunch
internet Banking Services.

27
Corporate Social Responsibility:

As a true corporate citizen BOK has contribution towards the betterment of the society in
every way possible. With endless possibilities, BOK aims at doing the most, in diverse
avenues. Be it organizing HIV/AIDS walkathon, blood donation program or keeping
environment clean, BOK constantly endeavors to reach out to those that need most support.

1. BOK has been supporting the deprived student of help to the helpless counsil
( DHARAN ) through its educational support program.
2. BOK supported a scholarship program organized by development and Equity for
woman empowerment, Nepal for underprivileged students.
3. BOK with a mission to support BAL Mandir orphans Project, Naxal, supported 2nd
annual dinner fundraiser at 1905, Kantipath. Organized by Nepal; Children’s
Organization.
4. BOK made an effort to help schools in remote areas ( Far Western Region, Nepal )
5. in order to enhance the quality education in that area by supporting a pilot Adop-A-
School program launched by asave the childrean Kathmandu.
6. As a mission to create awareness and support for the treatment and rehabilitation
center for disabled children, BOK supported Hospital and Rehabilitation Center for
disabled children ( HRDC ) to host the 3rd CMS Abilities Cup 2008.
7. BOK made an effort to create an opportunity for the disabled children to be self
employed by providing them with computer trainings by supporting skill Development
and Rehabilitation Center for Disable-Nepal.
8. BOK distributed clothes to the flood victims of Bank Districts through “ Hridaya
Group’’ – Social Youth Organization.
9. As a part of its commitment to be socially responsible, BOK organized its 2nd of the
knowledge series one day workshop “seize the future- A Visionary Leadership
Workshop ‘’. The proceeds form the workshop plus an addition of two hundred and
fifty thousand rupees were contributed to Hospital and Rehabilitation center for
disable children ( HRDC ) in order to support the disabled children of Nepal.
10. Furthermore, the workshop was organized with an aim to create a perspective for
the participant on both internal and external challenges that he/she is facing in
leading the organization and to help them develop a plan of action to successfully
tackle the challenges.
11. BOK is a committed supporter to TEWA in its Endeavour in building equitable, just
and inclusive society (with special focus on Woman ) by increasing self reliance of
Nepalese by reducing dependency on foreign donors.
12. BOK has been supporting TEWA to organize many fund raising events in the past
years. TEWA with support of BOK recently organized ‘ Deep Prajwalan ‘ a fund
raising event in support of rural Nepalese women’s groups for promoting equitable
justice and peace in the society.
13. To make the world HIV/AIDS day, Bank of Kathmandu decided to do something
different this time and donated full set of clothes and foodstuffs to 22 HIV positive
children of Keta Keti Ashram, Bansbari and Kathmandu.
14. BOK joined hands with Traffic police post, Gaushala wigh an attempt to convey the
Traffic social Massages by helping place banners in public vehicles ( with Traffic
Massages ) in order to create social awareness among the people regarding the
traffic rule.

28
 15. BOK joined hands with Naxal Yuva Mandal in order to restore Naag Pokhari with its
mission towards CSR focusing environment activities.
Branch & Network of Bank of Kathmandu
Head Office
Bank of Kathmandu Limited, P.O. Box 9044, Kamal
Pokhari, Kathmandu, Nepal
SWIFT: BOKLNPKA
Telex: 2820 BOK NP
Tel: (977 1) 4414541
Fax: (977 1) 4418990
Email: info@bok.com.np
Thamel Branch
Bank of Kathmandu Limited
Thamel, Kathmandu, Nepal
Tel: (977 1) 4701201, 4701202
Fax: (977 1) 4410143
Branch Manager: Ajupa Shrestha
Butwal Branch
Bank of Kathmandu Limited
Rajmarg Chaurha, Butwal, Rupandehi, Nepal
Tel: (977 71) 541692/5417740
Fax: (977 71) 541642
Branch Manager:
Nepalgunj Branch
Bank of Kathmandu Limited
Nepalgunj, Dhamboji, Surkhet Road
Banke, Nepal
Tel: (977 81) 523185, 523484
Fax: (977 81) 523187
Branch Manager: Mahesh Mishra
Pokhara Branch
Bank of Kathmandu Limited
Newroad, Pokhara, Gandaki, Nepal
Tel: (977 61)539150
Fax: (977 61) 539151
Branch Manager: Jit Bahadur Saru
Birgunj Branch
Bank of Kathmandu Limited
Adarsha Nagar, Parsa, Birgunj, Nepal
Tel: (977 51)534025, 534026
Fax: (977 51) 534027
Branch Manager:Dipendra Budathoki
Itahari Branch
Bank of Kathmandu Limited
Paschim Line, Itahari-1,Sunsari, Nepal
Tel: (977 25) 586710, 586711
Fax: (977 25) 586712
Branch Manager: Anjani Kumar Subedi
Kohalpur Branch
Bank of Kathmandu Limited
Kohalpur, Dus Bigha-13, Banke, Nepal
Tel: (977 81) 541343
Fax: (977 81) 541344
Branch Incharge: Kalpana Pudasaine
Tatopani Branch
Kamal Pokhari Branch
Bank of Kathmandu Limited
Kamalpokhari, Kathmandu, Nepal
Tel: (977 1) 4414541
Fax: (977 1) 4418990
Email: info@bok.com.np
Branch Manager: Girija Malla
New Road Branch
Bank of Kathmandu Limited
New Road, Kathmandu, Nepal
Tel: (977 1) 4231556, 4231557
Fax: (977 1) 4223279
Branch Manager: Thaman B Khatri
Hetauda Branch
Bank of Kathmandu Limited,
Main Road, Hetauda, Makawanpur, Nepal
Tel: (977 57) 521331
Fax: (977 57) 523018
Branch Manager: Ranjitsore Malla
Dhangadhi Branch
Bank of Kathmandu Limited
Dhangadhi, Main Road Chauraha,
Kailali, Nepal
Tel: (977 91) 523386
Fax: (977 91) 522853
Branch Manager: Surendra Bahadur Shahi
Biratnagar Branch
Bank of Kathmandu Limited
Main Road, Biratnagar, Koshi, Nepal
Tel: (977 21) 536904, 536905
Fax: (977 21) 536906
Branch Manager: Sushma Maskey
Amlekhgunj Branch
Bank of Kathmandu Limited
Mainroad,Bara, Amlekhgunj, Nepal
Tel: (977 53)570033
Fax: (977 56)
Branch In-charge: Rudra Raj Ghalan
Janakpur Branch
Bank of Kathmandu Limited
Station Road, Dhanusha, Janakpur, Nepal
Tel: (977 41) 527372
Fax: (977 41) 527373
Branch Manager: Naresh Baskota
Gongabu Branch
Bank of Kathmandu Limited, Gongabu,
Samakhusi Chowk, Kathmandu, Nepal
Tel: (977 1) 4385711, 4385712
Fax: (977 1) 4385573
Branch Manager: Surendra Madhikarmi
Jawalakhel Branch
29
Bank of Kathmandu Limited Bank of Kathmandu Limited
Liping, Tatopani, Sindhupalchowk, Nepal Lalitpur, Nepal

Tel: (977 19) 633026 Tel: (977 1) 5524624, 5526228

Fax: (977 19) 633026 Fax: (977 1) 5523632
Branch Incharge: Pradip Khadka Branch Manager: Chiranjivi Bista
Surkhet Branch Ghorahi Branch
Bank of Kathmandu Limited Bank of Kathmandu Limited
Birendra Chowk Birendranagar-6, Naya Sadak, Ghorahi, Dang, Nepal
Surkhet, Nepal
Tel: (977 82) 561951, 561952
Tel: (977 83) 523663, 523664 Fax: (977 82) 561953
Fax: (977 83) 523665 Branch Manager: Chhabi Kumar Subedi
Branch Incharge: Karna Bahadur Bhandari
Tulsipur Branch Jumla Branch
Bank of Kathmandu Limited Bank of Kathmandu Limited
Ka Line BP Chowk, Tulsipur, Dang, Nepal Chandan Nath VDC 6, Jumla, Karnali, Nepal

Tel: (977 82) 522691, 522692 Tel: (977 87) 520298

Fax: (977 82) 522693 Fax: (977 87) 520300
Branch Incharge: Praveen Shah Branch Incharge: Bikrant Shahi
Balaju Branch Attariya Branch
Bank of Kathmandu Limited Bank of Kathmandu Limited
Balaju Industrial District (BID), Balaju, Kathmandu, Nepal Geta V.D.C.-03, Dhangadhi Road,
Attariya, Kailali, Nepal
Tel: (977 1) 4357713, 4380554
Fax: (977 1) 4357284 Tel: (977 91) 550921
Branch Manger: Meena Singh Fax: (977 91) 550969
Branch Incharge: Sagar Ojha
New Baneshwor Branch Gyaneshwor Branch
Bank of Kathmandu Limited Bank of Kathmandu Limited
New Baneshwor, Kathmandu, Nepal Gyaneshwor, Kathmandu, Nepal

Tel: (977 1) 4460699 Tel: (977 1) 4411181

Branch Manager: Nirmal Acharya Fax: ( 977 1) 4412278
Branch Manager: Prajwal Pant
Tripureshwor Branch Chabahil Branch
Bank of Kathmandu Limited, Tripureshwor,Kathmandu, Bank of Kathmandu Limited
Nepal Chabahil Chowk, Kathmandu, Nepal

Tel: (977 1) 4229271, 4229272 Tel: (977 1) 4499744

Fax: (977 1) 4229279 Fax: (977 1) 4490955
Branch Manager: Ek Raj Rawa Branch Manager: Santosh H. Adhikari
Bhaktapur Branch Tikapur Branch
Bank of Kathmandu Limited Bank of Kathmandu Limited
Suryabinayak, Bhaktapur, Nepal Jamara Pari, Manuwa Road, Tikapur-09,kailali, Nepal

Tel: (977 1) 6619334, 6619335 Tel: 091-561181

Fax: (977 1) 6619336 Fax: 091-561182
Branch Manager: Kabiraj Khatri Branch Manager: Yagya M. Pandit
Guleriya Branch Dadeldhura Branch
Bank of Kathmandu Limited Bank of Kathmandu Limited
Radha Krishna Chour, Guleria, Nepal Tuphandada, Amargadi-05,
Dadeldhura, Nepal
Tel: 084-421215
Fax: 084-421214 Tel: 096-420094
Branch Manager: Virat Bikram Verma Fax: 096-420093
Branch Manager: Ashutosh Khadka
Urlabari Branch
Bank of Kathmandu Limited
Urlabri-4, Itahara Road, Urlabari, Nepal

Tel: 021-541881, 541882

Fax: 021-541883

30
ATM LOCATIONS

BOK owned ATMs

• Bank of Kathmandu Limited, Kamal Pokhari, Kathmandu

• Bank of Kathmandu Limited, New Road, Kathmandu
• Bank of Kathmandu Limited, Supreme Court, Singha Durbar, Kathmandu
• Bank of Kathmandu Limited, Krishna Tower, New Baneshwor, Kathmandu
• Bank of Kathmandu Limited, Jawalkhel, Lalitpur
• Bank of Kathmandu Limited, Nepalgunj
• Bank of Kathmandu Limited, Pokhara
• Bank of Kathmandu Limited, Namche
• Bank of Kathmandu Limited, Surkhet
• Bank of Kathmandu Limited, Ghorahi
• Bank of Kathmandu Limited, Butwal
• Bank of Kathmandu Limited, Chabahil, Chuchhepati, Kathmandu
• Bank of Kathmandu Limited, New Baneshwor
• Bank of Kathmandu Limited, Thamel
• Bank of Kathmandu Limited, New Road Lounge, Dharmapath
• Bank of Kathmandu Limited, Gyaneshwor
• Bank of Kathmandu Limited, Tripureshwor
• Bank of Kathmandu Limited, Kumaripati Lounge
• Bank of Kathmandu Limited, Kohalpur
• Bank of Kathmandu Limited, Tikapur
• Bank of Kathmandu Limited, Guleriya
• Bank of Kathmandu Limited, Bhaktapur
• Bank of Kathmandu Limited, Attariya
• Bank of Kathmandu Limited, Gongabu
• Bank of Kathmandu Limited, Hetauda
• Bank of Kathmandu Limited, Birgunj
• Bank of Kathmandu Limited, Janakpur
• Bank of Kathmandu Limited, Biratnagar
• Bank of Kathmandu Limited, Itahari
• Bank of Kathmandu Limited, Chabahil
• Bank of Kathmandu Limited, Om Hospital

ATM location under SCT Network:

Inside Valley:
1. Himalayan Bank Limited, Thamel.
2. Himalayan Bank Limited, Newroad.
3. Himalayan Bank Limited, Patan.
4. Himalayan Bank Limited, Mangal Bazar
5. Himalayan Bank Limited, Maharajgunj.
6. Himalayan Bank Limited, Bhaktapur.
7. Himalayan Bank Limited, New Road (Near Hot Breads.)
8. Bank of Kathmandu, Kamaladi.
9. Bank of Kathmandu, New Road.
10. Everest Bank Limited, New Baneshwor.
11. Everest Bank Limited, Khicha Pokhari, New Road.
12. Everest Bank Limited, Pulchowk.
13. Everest Bank Limited, TIA (Airport.)
14. Laxmi Bank Limited, Hattisar.
15. NCC Bank Limited, Chabahil.
16. NCC Bank Limited, Bagbazar.
17. Machhapuchchhre Bank limited, Putali sadak.
18. Blue Bird Department Store, Lazimpat.
19. Blue Bird Department Store, Tripureshwor.
20. Nanglo, Durbarmarg.
21. Hotel Garuda, Thamel.
22. Metro Mall Soaltee Compound, Tahachal.
23. Big C Shopping Center ,Gaushala, Kathamadu.
24. NIC Bank Limited, Kamaladi

31
 25. Lumbini Bank Limited, Durbarmarg.
26. Suvam Convenience Store, Maharjgunj.
27. BhatBhateni Department Store, BhatBhateni.
28. Nabil Bank Limited, Kantipath
29. Nabil Bank Limited, New Road.
30. Nabil Bank Limited, Kupondole.
31. Nabil Bank Limited, Maharajgunj.
32. Thamel Mart, Thamel.
33. Bakery Café, Tridevi Marg, Thamel.
34. Gemini Grocer, Bouddha, Tushal.
35. Bhaktapur Durbar Square, Bhaktapur.
36. Nepal Bangladesh Bank Limited, Kathmandu Plaza.
37. Nepal Bangladesh Bank Limited, Kumaripati.

Outside the Valley:

38. Laxmi Bank Limited, Banepa.

39. Laxmi Bank Limited, Birgunj.
40. Bank of Kathmandu Limited, Pokhara.
41. Sudesh Emporium, Chipledhunga, Pokhara
42. NIC Bank Limited, Biratnagar
43. Machhapuchchhre Bank Limited, Jomsom
44. Lumbini Bank Limited, Narayanghad.
45. Nabil Bank Limited, Biratnagar.
46. Nabil Bank Limited, Dharan.
47. Nabil Bank Limited, Butwal.
48. Chipledhunga, Pokhara.

Everest BANK:

Everest bank Limited started its operation in 1994 with an objective is to provide an
efficient banking services to various segments of the society. The bank is providing
friendly services through its Branch Network. All the branches of the bank are connected
through anywhere which helps customers to do all their transactions from any branches
other than where they have their account.
To help Nepalese citizens working aboard, the bank has entered
into arrangements with the banks and finance company in different countries which
enable quick remittance of funds by the Nepalese citizens.
The bank has been focusing on expanding its operation outside
Nepal and has identified some of the emerging economics which offer large business
potential. Bank has also set up its representitive officers at New Delhi to support
Nepalese Citizens remitting money and advising banking related sources.
Punjab National Bank of India, Our joint venture partner is the
largest nationalized bank in India. PNB holds 20% equity in the bank.

Vision

32
 • To evolve & position the bank as a progressive, cost effective & customer
friendly institution providing comprehensive financial and related services.
• To integrate the frontiers of technology & serving the various segments of
society.
• To be committed to excellence in corporate values.

Mission

• To provide excellent professional services & improve its position as a leader in

the field of financial related services.
• To build & maintain a team of motivated and committed workforce with high
work ethos.
• To use the latest technology aimed at customer satisfaction & act as an effective
catalyst for socio-economic developments.

Awards

• The bank has been conferred with “Bank of the Year 2006, Nepal” by the banker,
a publication of financial times, London.
• The bank was bestowed with the “NICCI Excellence award” by Nepal India
chamber of commerce for its spectacular performance under finance sector

Pioneering achievements

Recognizing the value of offerings a complete range of services, we have

pioneered in extending various customer friendly products such as Home Loan,
Education Loan, EBL Flexi Loan, EBL Property Plus (Future Lease Rental),
Home Equity Loan, Vehicle Loan, Loan Against Share, Loan Against Life
Insurance Policy and Loan for Professionals.

EBL was one of the first bank to introduce Any Branch Banking System (ABBS)
in Nepal.

EBL has introduced Mobile Vehicle Banking system to serve the segment

33
 deprived of proper banking facilities through its Birtamod Branch, which is the
first of its kind.

Slogan of Everest Bank Limited

The slogan of the bank has remained as “…the name you can Bank upon”

34
Shareholding Pattern
50 % of the shares are owned by the local promoters, 20% by our joint venture partner
Punjab National Bank, India and 30% of the shares are owned by the general public.

Nepalese
General
Promoters
Public
50%
30%

Joint
Venture
Partner
20%

Figure 3.3: Shareholding pattern

(Source: EBL annual report 2007/2008)

35
 Organizational structure of Everest bank limited

Board Members

Management
Team

Department
Heads

Branch
Managers

Assistant Officers Officers

Managers (Operation) (Evening)

Supervisors (1)
Supervisors (1) Senior Assistant

Assistant
Senior Assistant
Managers

Record Keeper

Messengers (2)

Figure 3.8: Organizational Structure of EBL

36
Board of Directors

37
Product and Services of EBL

Deposit Schemes

EBI offers a wide range of deposits Schemes in both local and foreign currencies to
help us earn competitive interest rates in order to maximize higher returns on
investments.

 Current Account:EBL offers a wide range of products and services designed to

make banking easier and to match each and every customer's requirements. This
account is non-interest bearing account and there is no limit for withdrawal and
deposits in this account. We provide internet user login for this account incase
of single signatory.

EBL's Current Account offers you various benefits and flexibility.

◊ Free Cheque books

◊ Free monthly statement

◊ Unlimited Withdrawal

◊ Extended Banking Hour

◊ 365 days banking

◊ ATM cum Debit card in association with SCT.

◊ Free Statement on demand.

◊ Unlimited withdrawal.

◊ Evening counter facility.

 Saving accounts:EBL saving account is a deposit account held at a bank

maintained by a customer for the purpose of accumulating funds over a period
of time while earning an interest. Saving account can be opened in NPR for the
Nepalese citizen and USD for foreign citizens with valid password and job
appointment letter.

38
  Saving premium accounts: The savings that will shine bright in the future for
you and your family.The minimum balance required for Saving Premium Fund
Accounts shall be Rs. 1 lakhs.Interest is calculated on daily balance basis and
paid half yearly.
 Sunaulo Bhawishya Yojan: To cater to people who have the habit to save in a
regular basis and avail the bulk sum at the end with a high yielding interest rate
the bank launched the recurring deposit. The deposit is targeted among the
middle class families who save for specific purpose like purchase of items,
marriage etc. Sunaulo Bhavishya Yojana is most suitable for accumulating
regular small savings into substantial amount. The bank can plan and provide
for a large investment amount at a future date out of regular small savings. On
maturity you shall get the principal amount (i.e. the installment) along with half
yearly compounded interest.

 EBL NRN Deposit

EBL welcomes you to open Foreign Currency Deposits. As per the NRNs
ordinance 2062 such deposits along with interest are fully repatriable.

Salient Features of EBL NRN Deposit Scheme

Avail attractive interest rate on Foreign Currency along with additional 0.5% on NPR
deposits.

Who can open Non Resident Nepalese (NRN) as defined in NRN ordinance
2062, Article No. 2
Where All our branches
How By credit received in convertible foreign currency in our nostro
accounts as given overleaf
Currency USD, GBP and Euro
Offered
Minimum 10,000 units in Foreign Currency
Amount
Type of Saving and Term Deposit
Deposits

39
 Interest Payable : Semi annual

Other Benefits : Free monthly statement for savings account by e-mail on request

Cumulative Deposit Scheme: The people who require bulk amount in future to meet
your financial needs like children's higher education, their marriage etc. open an
account under Cumulative Deposit Scheme and earn higher term deposit interest on
quarterly compounding basis.

Minimum Balance required for to open this account is Rs. 5000

amount is Rs.50, 000/- from the period of 6 months upto 5 years. Period of
Deposit is 6 months upto 5 years

Maturity Value
Principal amount of deposit with upto date interest shall be paid on maturity
date.

Fixed Deposit: EBL has introduced several innovative schemes under Fixed Deposit
designed to cater to the needs of various segments of customers to meet your specific
requirement. You can open fixed deposit from 15 days to 5 years. The given interest
rate remains unchanged during the period of the deposit. A certificate of Deposit
(FDR) is issued only for fixed deposits. Minimum Balance required for fixed
deposit is NPR: 10,000. Interest is paid on quarterly basis to the nominated account
maintained at EBL.

Participation in the scheme

Any individual including a minor, Proprietorship/Partnership Firms,
Associations, Company/Corporate Bodies, Trust, Charitable and Education

40
 Institutions, Municipalities, Government/Quasi Government Bodies, NGOs,
INGOs etc can open account under the scheme.

Minimum Balance
NPR: 10,000.00 is required for fixed deposit.

Interest Rate:
Interest is paid on quarterly basis to the nominated account maintained at
EBL.

Unfixed fixed deposit: This scheme allows benefits of higher term deposit
rate with quarterly compounding interest while earning interest on it.
Participation in the scheme
The scheme is suited for all categories of depositors like Individuals,
Sole Prop. Concerns firm, Trusts and Limited Companies who wish to
park their temporary surpluses in Fixed Deposits, thereby earning
higher rates of interest as well as withdraw or repay the amount in
between depending upon their needs.
Participation is not for all the depositors. Blind, illiterate and minors
cannot open this A/C.

Deposit Amount
Minimum Rs. 50,000/-

Period of Deposit
6 months upto 5 years

Maturity Value
Principal amount of deposit with upto date interest shall be paid on
maturity date.

Premature Cancellation
Allowed at lower rate of interest

USD Account:Those individuals and companies who earns/ get funded in dollars
can open USD Account at EBL branches.

Required documents for deposits:

41
Minimum Balances for accounts may vary across branches.
For personal accounts:

• Citizenship Certificate or Passport

• 2 PP size photos

For Sole Proprietorship:

• Registration Certificate
• Tax Certificate
• Citizenship Certificated Proprietor
• 2 PP size photos

For Partnership Account:

• Partnership Agreement deed

• Firm Registration Certificate
• Tax Certificate
• Citizenship Certificate of Partners
• 2 PP size photos of partners

Limited Company Account:

• Registration Certificate
• Memorandum & Articles of Assocation
• Name, Address of directors & Office Bearers of the Limited Company with
copy Citizenship Certificate
• Name & Signatures of the Persons Authorised to Operate an account
• Operation Commencement Certificate (for Public Ltd. Co.)
• Resolution of Board of Directors regarding opening & conduct of an account
• Tax Certificate

Club Society & Association Account:

• Registration Certificate
• List of Office Bearers
• Resolution Regarding Opening & Conduct of Account
• Name & Signature of the persons authorized to operate the account

- All EBL branches are now connected by ABBS.

42
Loan Products:

Rental loan

 Home Loan: In order to meet the needs of home seekers, Everest Bank Ltd.
has launched a scheme for Direct Housing Finance for individuals for
construction /acquisition/ purchase of house/flat allotted by the private
builders or Development Authorities and also for carrying out repairs/
renovation/ additions/alteration to the house/flat.

Eligibility

1. Individuals in permanent service or having their own business whose gross

monthly income along with that of the spouse is at least double of the
monthly installment of the loan.
2. Age of the applicant normally shall not exceed 60 years at the time of loan
sanction.

Margin Money
Minimum 25%

Interest Rate
upto 5 years - 9.00% p.a
5-8 years - 9.50% p.a
Above 8 years - 10.50% p.a

Payment

• Period: In equal monthly installments - maximum up to 20 years.

• Repayment of the loan with interest shall not ordinarily extend beyond the
age of 65 years of borrower.

 Home equity loan

43
Eligibility

Existing housing loan borrowers whose past repayment behavior is

satisfactory and the account is running regular & whose income level has
increased.

Age of the applicant should not exceed 57 years.

Purpose

• For outright purchase of new house.

• For additions/ construction over the existing house.
• For purchase of vehicle.
• For educational purpose.
• For business Overdraft.
• For personal OD/TL (for purchases, expenses, etc).

Amount of Loan

• Minimum amount of the loan is Rs.2 lacs and maximum amount is Rs.15 lacs.
• 90% of the home equity value or required amount of loan whichever is lower.

Vehicle Loan: Individuals in permanent service or having their own business whose
gross monthly income along with that of the spouse is at least double of the monthly
installments can apply for the purchase of new Car/Van/Jeep at 9.50% per annum.
The loan amount to 30 times the net monthly salary/income for Individuals and as
per need basis for Business Concern, to be repaid in 60 to 84 Equated Monthly
Installments.
Education Loan: EBL provides this loan to deserving students of Nepali Nationality for
studies in SAARC countries or abroad at an interest rate of 10-10.50% against
personal guarantee from the parents and a 100% security.
Future Lease Rental: This scheme has been specially designed keeping in mind the
property owners of large commercial/residential buildings. As a measure to improve
liquidity and enhance prospects for better use of money for the bank’s customer, the
bank is providing loans against future lease rentals under this scheme.
 Professional Loan: It is a scheme for financial professionals who are self
employed. The loan can be provided for the purchase purchase of equipment,

44
 purchase of furniture, furnishing of the office premises and
Working Capital requirement.
Loan against Mortgage: Loan against mortgage of immovable property will be allowed
to individuals, business employee for meeting their business and personal needs.
Loan against Life Insurance Policy (LIP): EBL has policy of advancing against the
security of life Insurance Policies (LIP) to an extent of maximum 90% of surrender
value of Life Insurance Policy at 8.5% payable on a quarterly basis.
Bike Loan: Individual having fixed source of income / existing credit clients / relatives
of credit clients / staff members of different organizations/ wholesalers / dealers /
retailers / business concerns with regular income source, valid driving license holder
and citizenship certificate holder.
Share Loan: Individuals/Firms and Companies are eligible for share loan. Advances
against primary security of physical share or shares in dematerialized from approved
by head office to be granted to individuals / firms/ Companies to meet their
requirements.
Tractor and Water Pump Finance: This loan is provided by EBL for the purchase of
tractor or water pump sets as fixed term loan to a maximum of 80% of the proposed
equipment and 5 years tenure at 9.5% interest.

Corporate Loan

Working Capital Finance

EBL provide the working capital requirement of business by assessing the current
asset and liabilities. The business can draw up to a limit determined by the drawing
power which is appraised on a regular basis. The bank has been successful in
servicing the working capital needs especially of the trading units. The bank makes a
continuous customer visit to ensure that the requirement is met on time and up to an
optimum level.

Project Finance

Depending on the projects rate of return, repayment ability, cash flow and generation
of cash surplus various projects are financed. The technical, financial, economical and
managerial competencies are appraised in such cases and decisions are taken
accordingly.

Trade Finance

Through an extensive global network that facilitates domestic and international

transaction we are able to meet customer’s need of import, export, payments through
offering facilities like LCs, SWIFT transfers, Guarantees etc. Trust Receipt loans are
offered to retire import bills. The bank also offers pre shipment and post shipment
loans as part of export finance.

Consortium Finance

45
 The bank has been arranging for financial closure of various large projects through
leading various consortium finance. We have offered such services to various
business segments like Hydropower, Manufacturing Industry, Hospital etc. We would
explore for such possibilities of finance in the form of lead as well as member bank in
the future.

Remittance

Inward Remittance

• India
• Middle East and South East Asia (Remit from Everest Remit)
• Rest of the world

Speed Remittance in India

EBL is providing Speed Remittance facility through which EBL customer can remit fund
from Nepal to CBS branches of PNB India. This is online fund transfer facility and
modern concept in remittance service in the history of Nepal.

Everest Remit (Online Product of EBL)

EBL has developed its own web-based remittance product known as EVEREST REMIT
and officially launched the same from UAE on 25th July, 2006. Currently, EBL receives
remittance payments from different Exchange Houses covering countries such as UAE,
Qatar, Bahrain, Malaysia and UK and are disbursed through its wide network.

Outward Remittance

Outward remittances of foreign currency in Nepal are subject to central bank's directives.
We provide you a convenient mode of your remittance/payment within the permitted
ceiling via draft and Swift transfer.

Debit Card and ATM Machine

Associated with Smart Choice Technology (SCT), it facilitates wide sharing of

ATMs under SCT network from more than 350 Locations throughout Nepal.
Functionally, it can be called an electronic check, as the funds are withdrawn directly
from the bank account.
Everest Bank Ltd (EBL), a joint venture partner of Punjab National Bank (PNB) is
always committed towards excellent service for the people who believe in quality

46
banking. Introduction of EBL Debit card is a step in the same direction. EBL Debit card
can also be issued for all existing customers of Everest Bank Limited.
EBL Debit card is eligible for all existing customers for Everest Bank Ltd. EBL
Debit card can also be issued in joint accounts. It can be issued to both the account
holders and they may operate their transaction through ATM into same account.

Internet Banking

Currently following services are available through our internet banking.

• Account summary/ Statements

• Balance Inquiry
• Fund Transfers
• Bill Payments (Currently UTL Bill)
• Offline Requests (Cheque books, remittance etc)
• Various Alert(Email/SMS)

SMS Banking

Along with internet Banking, EBL has presented its SMS Banking services. Users are
automatically signed up for SMS Banking when they sign up for.

E-Banking etc.

Bank On Wheel

Everest Bank Limited has started its Mobile Banking operation since 26th September
2007. This service ‘Bank on Wheels’ as a banking product is the first of its kind in
Nepal. EBL is providing banking facilities at the customer home through mobile
banking.

Facility Provided through Mobile Banking

• Cash Withdrawal (Not Exceeding NPR 5 Lacs per day)

47
 • ABBS Facility
• Issuing Cheque Books
• Issuing Account Statements
• Issuing of ATM Cards etc.
• Providing Information about Bank’s Products
• Collection of Credit related files/filed inspection of the area
• Other Services.

Branch less Banking

In an endeavor to provide banking facilities to large and well spread out sections
of the remote village, Everest Bank Limited (EBL) has introduced new product as
Everest Bank Ghar- Dailo Banking Sewa, on 17th June 2009, this service is
unique delivery channel in banking services to facilitate rural people in banking
with the help of sophisticated technology. This service is branchless banking
service through point of transaction (POT) machine by using smart cards.

This is a major leap forward towards inclusion through branchless banking. The
customer can avail the facility of banking at his/her own convenient time. Besides
that he/she will earn interest on the savings and this fund will remain secured.

NTC Prepaid Recharge

EBL is providing SMS bill payment and Mobile recharge

facility to the NTC mobile user. With the help of this service the customer can make the
bill payment or recharge pre-paid mobile at any time and any where.

EBL Branches

1. Baglung Branch

48
Aawa Road, Baglung, Nepal
Phone: 977-68-522185, 522186
Fax: 977-68-522187
Email: ebl_bgl@ebl.com.np

Branch Manager: Buddhi Prasad Tiwari

Email: buddhi.tiwari@ebl.com.np

2. Balaju Branch
Nayabazar, Kathmandu, Nepal
Phone: 977-1-4380381, 4380301
Fax: 977-1-4358986
Email: ebl_blj@ebl.com.np

Branch Manager: Purna Bahadur Shrestha

Email: purna.shrestha@ebl.com.np

3. Baneshwor Main Branch

Kathmandu, Nepal
Phone: 977-1-4780018 (hunting)
Fax: 977-1-4781025
Email: eblban@ebl.com.np

Branch Manager: Ashutosh Upadhaya

Email: ashutosh.upadhyaya@ebl.com.np

4. Besisahar Branch
Besishahar, Lamjung, Nepal
Phone: 977-66-520771
Fax: 977-66-520772
Email: eblbeshi@ebl.com.np

Branch Manager: Chandra Gurung

Email: chandra.gurung@ebl.com.np

5. Bhairahawa Branch
Prahari Tole, Siddhartha Nagar Bhairahawa, Nepal
Phone: 977-71-527360
Fax: 977-527361
Email: eblbhw@ebl.com.np

Branch Manager: Vijaya Kr. Singh

Email: vijay.singh@ebl.com.np

6. Bhaktapur Branch

49
Bhaktapur Branch Surya Vinayak, Bhaktapur
Phone: 977-1-6620001
Fax: 977-1-6620002
Email: eblbkt@ebl.com.np

Branch Manager: Madan R Tamrakar

Email: madan.tamrakar@ebl.com.np

7. Biratnagar Branch
Mangala Devi Super Market Hanuman Das Road, Biratnagar Morang, Nepal
Phone: 977-21-530528, 527645
Fax: 977-21-530527
Email: eblbrt@ebl.com.np

Branch Manager: Nar Bahadur Rawal

Email: nb.rawal@ebl.com.np

8. Birgunj Branch
Adarshanagar, Birgunj Parsa , Nepal
Phone: 977-51-527163, 523048
Fax: 977-51-527164
Email: eblbrj@ebl.com.np

Branch Manager: Devi Dutta Gywali

Email: devidutta.gywali@ebl.com.np

9. Birtamod Branch
Sanischare Road, Jhapa, Nepal
Phone: 977-23-691333, 540170
Fax: 977-23-540170
Email: ebl_btm@ebl.com.np

Branch Manager: Gokul Pd. Adhikari

Email: gokul.adhikari@ebl.com.np

10. Butwal Branch

Malli Complex, B.P. Chowk, Butwal, Rupandehi , Nepal
Phone: 977-71-543661, 545661
Fax: 977-71-543662
Email: eblbtw@ebl.com.np

Branch Manager: Bishnu Gyawali

Email: bishnu.gyawali@ebl.com.np

11. Chabahil Branch

50
Kathmandu, Nepal
Phone: 977-1-4464895
Fax: 977-1-4464914
Email: eblchab@ebl.com.np

Branch Manager: Kalpana Pandey

Email: kalpana.pandey@ebl.com.np

12. Dhangadi Branch

Dhangadhi, Kailali ,Nepal
Phone: 977-91-523641, 523642
Fax: 977-91-523643
Email: ebldhn@ebl.com.np

Branch Manager: Janak Chapagain

Email: Janak.chapagain@ebl.com.np

13. Duhabi Branch

Duhabi, Sunsari , Nepal
Phone: 977-25-540628
Fax: 977-25-540627
Email: eblduh@ebl.com.np

Branch Manager: Sumit Bhakta Joshi

Email: sumit@ebl.com.np

14. Golfutar Branch

Golfutar, Kathmandu
Phone: 977-1-4650793, 4379705
Fax: 977-1-4374917
Email: eblgol@ebl.com.np

Branch Manager: Ram Hari Acharya

Email: ramhari.acharya@ebl.com.np

15. Gwarko Branch

Gwarko, Kathmandu , Nepal
Phone: 977-1-5540348
Fax: 977-1-5539066
Email: eblgwk@ebl.com.np

Branch Manager: Anju Sharma

Email: anju@ebl.com.np
Representative office
911, 9th Floor, Antriksh Bhawan, Kasturba Gandhi Marg, New Delhi- 110001, INDIA.
Phone: 0091-11-23710327

51
Fax: 0091-11-23710326
Email: ebldelhi@gmail.com

16. ICD (Dry Port)

Birgunj Branch Parsa, Nepal
Phone: 977-51-533190, 533835
Fax: 977-51-533834
Email: eblicd@ebl.com.np

Branch Manager: Suman Sharma

Email: suman.sharma@ebl.com.np

17. Itahari Branch

Itahari, Sunsari, Nepal
Phone: 977-25-586411
Fax: 977-25-586412
Email: eblith@ebl.com.np

Branch Manager: Bishwajit Lal Maskey

Email: bishwajit.maskey@ebl.com.np

18. Janakpur Branch

Mills Area, Janakpur Dhanusha , Nepal
Phone: 977-41-525855
Fax: 977-41-525361
Email: ebljnk@ebl.com.np

Branch Manager: Ram Bharos Yadav

Email: rb.yadav@ebl.com.np

19. Kirtipur Branch

Naya Bazzar, Kirtipur, Kathmandu
Phone: +977-1-4336423 , 4336424
Fax: +977-1-4336425
Email: eblkrt@ebl.com.np

Branch Manager: Hima Shrestha

Email: hima.shrestha@ebl.com.np

20. Kushma Branch

Shahid Chowk, Kushma Bazzar Parbat
Phone: 977-67-421169
Fax: 977-67-421169
Email: eblkus@ebl.com.np

52
Branch Manager: Arjun S. Paudel
Email: arjun@ebl.com.np

21. Lagankhel Branch

Lagankhel Bus Park, Lagankhel, Lalitpur
Phone: 977-1-5551470, 977-1-5551471
Fax: 977-1-5551472
Email: ebl_lgkl@ebl.com.np

Branch Manager: Heera Shakya

Email: heera.shakya@ebl.com.np

22. Lazimpat Branch

EBL House, Lazimpat, Kathmandu , Nepal
Phone: 977-1-4443377(hunting)
Fax: 977-1-4443160
Email: ebllaz@ebl.com.np

Branch Manager: Ashutosh Sharma

Email: ashutosh@ebl.com.np

23. Lekhnath Branch

Taal Chowk , Lekhnath
Phone: 977-61-560777
Fax: 977-61-560977
Email: ebl_lekh@ebl.com.np

Branch Manager: Surendra Nath Sharma

Email: surendra.sharma@ebl.com.np

24. Maitidevi Branch

Maitidevi, Near Seto Pul, Kathmandu
Phone: 977-1-4445172, 4445173
Fax: 977-1-4445175
Email: eblmtd@ebl.com.np

Branch Manager: Satish Pratap Singh

Email: satish.singh@ebl.com.np

25. Narayangarh Branch

Shahidpath, Narayangarh, Nepal
Phone: 977-56-521465
Fax: 977-1-520465
Email: eblngd@ebl.com.np

53
Branch Manager: Harish K Acharya
Email: harish.acharya@ebl.com.np

26. Nepalgunj Branch

Surkhet Road, Dhamboji
Phone: 977-081-525804, 525805
Fax: 977-081-525902
Email: ebl_npj@ebl.com.np

Branch Manager: Nishit Sharma

Email: nishit.sharma@ebl.com.np

27. New Road Branch

Kathmandu, Nepal
Phone: 977-1-4245782/84,4222230
Fax: 977-1-4245779
Email: eblnr@ebl.com.np

Branch Manager: Santosh Bhattarai

Email: santosh.bhattarai@ebl.com.np

28. Pokhara branch

New Road, Pokhara , Nepal
Phone: 977-61-541491
Fax: 977-61-541492
Email: eblpok@ebl.com.np

Branch Manager: Anil Karki

Email: anil.karki@ebl.com.np

29. Pulchowk Branch

Lalitpur, Nepal
Phone: 977-1-5549738, 5549739
Fax: 977-1-5549736
Email: eblpul@ebl.com.np

Branch Manager: Ranjan Khadka

Email: ranjan.khadka@ebl.com.np

30. Satungal Branch

Kathmandu, Nepal
Phone: 977-1-4311080
Fax: 977-1-4310272
Email: eblsat@ebl.com.np

54
Branch Manager: Ujwal Pokhrel
Email: ujwal.pokharel@ebl.com.np
Representative office
911, 9th Floor, Antriksh Bhawan, Kasturba Gandhi Marg, New Delhi- 110001, INDIA.
Phone: 0091-11-23710327

31. Simara Branch

Simara Chowk, Simara, Bara , Nepal
Phone: 977-53-520506
Fax: 977-53-520616
Email: eblsim@ebl.com.np

Branch Manager: Mani Ram Lamichhane

Email: maniram.lamichhane@ebl.com.np

32. Surkhet Branch

Birendra Chowk, Surkhet
Phone: 977-83-523552
Fax: 977-83-523553
Email: eblsur@ebl.com.np

Branch Manager: Yagya Raj Timilsina

Email: yagya.timilsina@ebl.com.np

33. Teku Branch

Kathmandu, Nepal
Phone: 977-1-4242333, 4230642
Fax: 977-1-4247009
Email: ebltk@ebl.com.np

Branch Manager: Pradeep Khanal

Email: pradeep.khanal@ebl.com.np

34. Thamel Branch

A One Business Complex, First Floor, Thamel, Kathmandu
Phone: +977-1-4433037/4436117
Fax: +977-1-4435530
Email: eblthml@ebl.com.np

Branch Manager: Prashanna Khadka

Email: prashanna.khadka@ebl.com.np

35. Tulsipur Branch

BP Chowk, Tulsipur, Dang
Phone: 977-82-521620
Fax: 977-82-521621

55
Email: ebltul@ebl.com.np

Branch Manager: Ramesh Shakya

Email: ramesh.shakya@ebl.com.np
Representative office
911, 9th Floor, Antriksh Bhawan, Kasturba Gandhi Marg, New Delhi- 110001, INDIA.
Phone: 0091-11-23710327
Fax: 0091-11-23710326
Email: ebldelhi@gmail.com

Fax: 0091-11-23710326
Email: ebldelhi@gmail.com

56
 Nepal Industrial & Commercial Bank Limited (NIC Bank)

Nepal Industrial & Commercial Bank Limited (NIC Bank) commenced its
operation on 21 July 1998 from Biratnagar. The Bank was promoted by some of
the prominent business houses of the country. The current shareholding pattern
of the Bank constitutes of promoters holding 51% of the shares while 49% is
held by the general public. NIC Bank has over 34,000 shareholders. The shares
of the Bank are actively traded in Nepal Stock Exchange with current market
capitalization of about NPR 10,493 million.

The Bank has grown rapidly with 22 branches throughout the country while
several branches are planned to be opened this year. All branches are inter-
connected through V-Sat and are capable of providing real time on-line
transactions.

The Bank is the first commercial Bank in Nepal to have received ISO 9001:2000
certification for quality management system. Furthermore, NIC Bank became the
1st Bank in Nepal to be provided a line of credit by International Finance
Corporation (IFC), an arm of World Bank Group under its Global Trade Finance
Program, enabling the Bank's Letter of Credit and Guarantee to be accepted/
confirmed by more than 200 banks worldwide.

To add to these achievements, the Bank has also been awarded the "Bank of the
Year 2007-Nepal" by the world-renowned financial publication of The Financial
Times, U.K.-The Banker. This is the fruit of the Bank's outstanding performance
backed by belief and support of its customers towards the Bank.

The Bank is run by professionals and believes in the highest standards of

corporate governance.

The Board of Directors of the Bank is supported by a management team, which

comprises of young, enthusiastic professionals. The Bank has successfully
embarked on a multi-pronged strategy of consolidation, administrative
streamlining, human resource up-skilling, strategic cost management, focused
non-performing assets management, balance sheet and treasury management
and controlled asset growth, in tandem with strengthening the credit culture as
well as strategic marketing and sales.

NIC Bank's organizational structure is designed to support its business goals.

However, it is flexible enough in seeking to ensure effective control and
supervision and consistency in standards across all businesses at the same time.
The organization structure is divided into five major areas viz Consumer
Banking, Business Banking, Special Assets Management, Treasury and Liability
Marketing and Transaction Banking all of which are supproted by the corporate
center.

The Bank is committed towards providing financial services to its patrons by the
means of efficient and cost effective service delivery through its Transaction
Banking, Consumer Banking, Business Banking and Treasury divisions.

57
Consumer Banking comprises of consumer lending, retail credit products and
banking services for individuals with dedicated teams. Consumer Banking
services include home loans, auto loans, personal loans, education loans, travel
loans, etc.

Liability Marketing & Transaction Banking comprises of institutional and personal

deposit products and transaction banking services including debit cards, ATMs,
safe deposit lockers, payment services, drafts, remittance, SMS Banking,
Travelers' Cheques, etc.

Business Banking group comprises of corporate banking business including credit

products and other banking services. It also includes corporate transaction
banking, trade finance services, foreign exchange and corporate financing
solutions including project & infrastructure finance, working capital & term loan
credit, structured financing, syndication, cash management and advisory
services.

Special Assets Management division is responsible for managing non-performing

and restructured loans.

Treasury is responsible for management of liquidity and exposure to market risk,

mobilization of resources, balance sheet management, pricing, investor relations
and international operation. The Bank's treasury division offers a full range of
Risk Management and Cash Management products and provides effective
Treasury advisory services.

Further, Treasury also leverages its strong relationships with financial institutions
to provide a wide range of Banking services.

The Corporate center comprises all shared services and corporate functions
including finance, secretarial, risk management, legal, human resources,
branding and corporate communications.

The Compounded Annual Growth Rate (CAGR) of the Bank for the last 5 years is
one of the highest in the industry. This shows that the Bank's performance has
been consistent over the duration of five years. 5 year CAGR of key performance
indicators of the Bank are as under.

NIC BANK’S Organizational structure is designed to support its business goals. And for
the purpose, organizational structure is divided into five major areas:

1. Consumer Banking
2. Business Banking
3. Risky Management
4. Treasury
5. Liabilities Marketing And Transaction Banking

Vision
To become one of the most respectable banks in Nepal based on honorable conduct and long-term financial
performance.

58
Mission
To become a leading bank in Nepal by providing complete financial solutions to our customers, superior value to
our shareholders and promising growth opportunities to our employees.

The composition of the Board of Directors of the Bank is, as per the Company Act and Bank and Financial
Institution Ordinance 2063. The Directors of the Bank are eminent personalities drawn from various fields. The
Directors have been contributing their professional knowledge, experience and expertise in their respective areas
of specialization for the development of the Bank. The Directors are fully committed to the Corporate governance
model adopted by the Bank, which among others, encompasses the principles of full disclosure and transparency,
social responsibility and accountability, "zero tolerance" compliance culture, business and customer
confidentiality, intolerance of conflict of interests, and an independent management.

Jagdish Prasad Agrawal Chairman

Tulsi Ram Agrawal Director
Mr. Lokmanya Golchha Director
Nirmal Kumar Agrawal Director
Rajendra Aryal (Public Shareholder) Director
Birendra Kumar Sanghai (Public Shareholder) Director

Management Team
Sashin Joshi Chief Executive Officer
Niraj Shrestha General Manager - Business Banking
Bimal Daga Head - Credit Business Banking
Purna Man Napit Head Audit & Compliance
Bam Dev Dahal Manager - Projects and Strategic Sourcing
Bhanu Dabadi Manager - Consumer Lending
Deepak K. Shrestha Manager - Credit Consumer Banking
Saroj Guragain Manager - Treasury & Correspondent Banking
Prabin Basnet Manager - Operations
Sushil Bhattarai Manager - Information & Technology
Saroj Shrestha Relationship Manager - Business Banking
Bhesh Raj Khatiwada Relationship Manager - Business Banking
Rajesh Raj Gautam Manager - SME
Sanchita Gorkhali Manager - Human Resource
Shrina Joshi Manager - Corporate Affairs

59
Branch Managers
Arjun Kr. Chhetri New Road, Kathmandu
Binay Dahal Adarsh Nagar, Birgunj
Birendra Thakur Ganesh Chowk, Lahan
Bishnu Pandey Rajmarg Chowk, Damak
Yogendra Rana (Officiating) Mahendrapath, Dharan
Yuba Raj Dahal Birendra Nagar, Surkhet
Dinesh K. Sharma Ram Mandir Chowk, Janakpur
Jayendra Rawal Surkhet Road, Nepalgunj
Sangita Satyal (Officiating) Kamaladi, Kathmandu
Prajeeta Joshi Battisputali, Kathmandu
Priyanka Ranjit Suryavinayak, Bhaktapur
Rajendra Luitel Dhangadhi, Kailali
Ashok Gurung Shrawan Path, Butwal
Sameer Acharya Mahendra Pool, Pokhara
Shiva Gopal Risal Bhadrapur Road, Birtamod
Sudhir Agrawal Main Road, Biratnagar
Umesh Acharya Pulchowk, Lalitpur
Bal Krishna Shrestha Kirtipur, Kathmandu
Smriti Bhandari Samakhusi, Kathmandu
Arjun Shrestha Gaighat
Merina Dangol Satdobato
Sunil Rana Narayanghat

NIC Bank has an Authorized Capital of Rs. 1,600 million with paid-up capital of Rs. 1140.48 million. The promoter
group holds 51% of paid-up capital amounting to Rs. 581.65 million and remaining 49% amounting to Rs. 558.83
million is held by the general public. The shares are listed with Nepal Stock Exchange.

Particulars Amount (Rs.)

Authorized Share Capital 1600000000
Issued Share Capital 944000000
Paid Up Capital 944000000

60
Share Ownership

Particulars Percent (%) Amount (Rs.)

Promoters 65 61800000000
Public Shareholders 35 32600000000
Total - 94400000000

Corporate Office Registered Office

279 Kamaladi Sadak, Kathmandu, Nepal Main Road, Biratnagar, Nepal
P.O.Box: 7367 P.O.Box: 232
Phone: 01-4262277 Phone: 021-521921
Fax 01-4241865 Fax: 021-522748

Inside Valley
Kamaladi Branch New Road Branch
Kamaladi Ganeshsthan, Kathmandu, Nepal New Road, Kathmandu, Nepal
Phone: 01-4262277 Phone: 01-4227305
Fax 01-4241865 Fax: 01-4227507
SWIFT: NICE NP KA

Battisputali Branch Pulchowck branch

Battisputali, Kathmandu Metropolitan - 9, Pulchowk, Lalitpur
Nepal Phone no: 5555662
Telephone / Fax No: 01-4484713 Fax : 5550044

Bhaktapur branch Kirtipur Branch

Suryavinayak, Bhaktapur Address: Kirtipur Municipality - 17, Naya
Phone no: 016226996 Bazar
Fax : 6619121 Kathmandu, Nepal
Telephone No: 4330237/4331164
Fax No.: 4330760
Samakhushi Branch Satdobato Branch
Address: Kathmandu Metropolitan - 29, Satdobato, Lalitpur
Samakhushi Telephone No: 01-5002517/01-5002518
Kathmandu, Nepal Fax No.: 01-5002516

61
Telephone No: 4387055/4387056
Fax No.: 4387061

Outside valley
Biratnagar Branch Pokhara Branch
Main Road, Biratnagar, Nepal P. O. Box: 587, Mahendra Pool
Phone: 021-521921 Pokhara, Nepal
Fax: 021-522748 Tel: 061-539645
Fax: 977-061-533809

Dharan Branch Birtamod Branch

Mahendra Path, Dharan, Nepal Bhadrapur Road, Birtamod, Nepal
Phone: 025-526521 Phone: 023-540977
Fax: 025-520333 Fax: 023-540811

Birgunj Branch Janakpur Branch

Adarsh Nagar, Birgunj, Nepal Ram Mandir Chowk, Janakpur, Nepal.
Phone: 051-527638 Phone: 041-525856

Damak Branch Butwal Branch

Rajmarg Chowk, Damak, Jhapa, Nepal Shrawan Path, Butwal, Rupandehi, Nepal
Phone: 023-585156 Phone: 071-543238
Fax: 023-585157 Fax: 071-543250

Nepalgunj Branch Surkhet Branch

Surkhet Road, Nepalgunj, Nepal Birendra Chowk, Birendra Nagar, Surkhet,
Phone: 081-526604 Nepal
Fax: 081-524416 Phone: 083-524092
Fax: 083-524093

Lahan Branch Dhangadhi Branch

Ganesh Chowk, Lahan, Siraha, Nepal
Phone: 033-561012/033-561013
Fax: 033-561014
Dhangadhi Municipality - 3, Godawari
Road,
Chauraha, Kailali, Nepal
Phone: 091-5-27061, 091-5-27062
Fax No.: 091-5-27060

Gaighat Branch Narayanghat Branch

Triyuga Municipality - 02, Bharatpur Municipality - 04, Sahid Chowk,
Gaighat, Udayapur, Nepal Narayanghat, Chitwan, Nepal
Phone: 035-420934/ 420935 Telephone No: 056-533941/42
Fax No.: 035-420933 Fax No.: 056-533940

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SCT-ATM Location: (Smart Choice Technoloty/Automatic Teller Machine):

SCT-Inside Kathmandu Valley

S.N Bank Location

1 Himalayan Bank Limited Thamel Branch
2 Himalayan Bank Limited Thamel Branch( Inside)
3 Himalayan Bank Limited New road Branch
4 Himalayan Bank Limited Patan
5 Himalayan Bank Limited Patan Branch
6 Himalayan Bank Limited Mangal Bazar
7 Himalayan Bank Limited Bhaktapur
8 Himalayan Bank Limited Maharajgunj
9 Himalayan Bank Limited Bluebird Departmental Store
Tripureshwor
10 Himalayan Bank Limited New road
(Near Hot Bread)
11 Himalayan Bank Limited Bhatbheteni
Departmental Store
12 Himalayan Bank Limited Teaching Hospital
Maharajgunj
Kathmandu
13 Himalayan Bank Limited World Trade Center
Tripureshwor
Kathmandu
14 Himalayan Bank Limited Bisal Bazar Patan
Kathmandu
15 Himalayan Bank Limited Teku

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16 Himalayan Bank Limited Halchowk
17 Bank of Kathamandu Kamaladi(Inside)
18 Bank of Kathamandu Kamaladi(Outside)
18 Bank of Kathamandu New road
19 Bank of Kathamandu Supreme Court
20 Bank of Kathamandu Jawalakhel
21 Bank of Kathamandu Krishna Tower
New Baneshwor
22 Everest Bank Limited New Baneshwor
23 Everest Bank Limited New Road
24 Everest Bank Limited TIA (Airport)
25 Everest Bank Limited Pulchowk
26 Everest Bank Limited Lazimpat
27 Everest Bank Limited Balaju
28 Everest Bank Limited New Baneshwor
Near Apex College
29 Everest Bank Limited Gwarko
30 Laxmi Bank Limited Hattisar
31 NCC Bank Limited Bagbazar
32 NCC Bank Limited Chabahil
33 NIC Bank Limited Kamaladi
34 NIC Bank Ltd Bishalbazar Newroad
35 Machhapuchchhre Bank Limited Putalisadak
36 Machhapuchchhre Bank Limited Kathamandu Mall
37 Machhapuchchhre Bank Limited Nepal Rastra Bank
Baluwatar
38 Machhapuchchhre Bank Limited Thapathali
39 Machhapuchchhre Bank Limited Singha Durbar
40 Machapuchchhre Bank Ltd Kalimati
41 Machapuchchhre Bank Ltd NEA
Ratnapark
42 Machapuchchhre Bank Ltd Mangal Bazar
43 Lumbini Bank Limited Durbar Marg
44 Hotel Garuda Thamel
45 Metro Mall Soaltee Compound Tahachal
46 Big C Shopping Centre Gaushala
47 Nabil Bank Limited Kantipath
48 Nabil Bank Limited Durbar Marg

64
49 Nabil Bank Limited New Road
50 Nabil Bank Limited Kupondole
51 Nabil Bank Limited Maharajgung
52 Nabil Bank Limited Bakery Cafe
Tridevi Marg
Tridevi Marg
53 Nabil Bank Limited Bhaktapur
54 Nabil Bank Limited Boudha
Tusal
55 Nabil Bank Limited Kalimati
Kathmandu
56 Nabil Bank Limited Tripureshwor
Kathmandu
57 Nabil Bank Limited New Baneshwor
58 Nabil Bank Limited Kantipath-2
Kathmandu
59 Nabil Bank Limited Kantipath-3
Kathmandu
60 Nabil Bank Limited Lalitpur
61 Nabil Bank Limited US Embassy
62 Nabil Bank Limited Ying Yang
66 Nepal Bangaladesh Bank Limited Kathmandu Plaza
67 Nepal Bangaladesh Bank Limited Kumaripati
68 Nepal Bangaladesh Bank Limited Bijulibazaar
69 Nepal Bangaladesh Bank Limited Newroad
70 Global Bank Ltd Kantipath
71 Citizens Bank International Kamaladi
72 Citizens Bank International Newroad
73 Siddhartha Bank Ltd. Newroad
74 Siddhartha Bank Ltd Old Baneshowr
75 KIST Merchant Banking and Finance Ltd Anamnagar
76 KIST Merchant Banking and Finance Ltd Tripureshwor
NTC
77 KIST Merchant Banking and Finance Ltd Jawalakhel
78 KIST Merchant Banking and Finance Ltd Newroad
79 KIST Merchant Banking and Finance Ltd Sukedhara
80 Clean Energy Development Bank Ltd Sitapaila
81 Prime Commercial Bank Ltd Newroad
82 Development Credit Bank Ltd. Newroad

65
83 Vibor Bikas Bank Ltd. Tripureshwor
84 Prabhu Finance Company Ltd. Kantipath
85 IME Financial Institution Ltd. Gongabu
86 Kasthamandap Development Bank Ltd. Newroad
87 Nepal Development Employment And Kamaladi
Promotion Bank Ltd.

SCT-Outside Kathmandu Valley

S.N Bank Location

2 Laxmi Bank Limited Birgunj
3 Bank of Kathamandu Pokhara
4 Bank Of Kathmandu Namche
5 Bank Of Kathmandu Nepalgunj
6 Bank Of Kathmandu Surkhet
7 Bank Of Kathmandu Ghorahi
8 Lumbini Bank Limited Narayanghad
9 Siddhartha Bank Limited Biratnagar
10 Lumbini Bank Limited Narayanghad
11 Nabil Bank Limited Biratnagar
12 Nabil Bank Limited Dharan
13 Nabil Bank Limited Butwal
14 Nabil Bank Limited Pokhara
15 Nabil Bank Limited Damak
16 Nabil Bank Limited Baglung
17 Nabil Bank Limited Narayangarh
18 Nabil Bank Limited Mahendranagar
19 Nabil Bank Limited Dhangadi
20 Nabil Bank Limited Itahari
21 Nabil Bank Limited Hetauda
22 Nabil Bank Limited Dang Ghorahi
23 Nabil Bank Limited Tulsipur
24 Nabil Bank Limited Birtamod
25 Nabil Bank Limited Pokhara
26 Nabil Bank Limited Bhairahawa
27 Machhapuchchhre Bank Limited Chipledhunga Pokhara
28 Machhapuchchhre Bank Limited Bagar Pokhara

66
29 Machhapuchchhre Bank Limited H/O Prithvi Chowk Pokhara
30 Machhapuchchhre Bank Limited Itahari
31 Himalayan Bank Limited Pokhara
32 Himalayan Bank Limited Birgunj
33 Himalayan Bank Limited Hetauda
34 Himalayan Bank Limited Bharatpur
35 Himalayan Bank Limited Bhairahawa
36 Himalayan Bank Limited Pokhara
Lakeside
37 Himalayan Bank Limited Butwal
38 Himalayan Bank Limited Dharan
39 Himalayan Bank Limited Pokhara
Lakeside
40 Everest Bank Ltd Pokhara
41 Everest Bank Ltd Janakpur
42 Everest Bank Ltd Narayangarh
43 KIST Merchant Banking and Finance Ltd. Pokhara
44 KIST Merchant Banking and Finance Ltd. Butwal
45 Paschimanchal Development Bank Ltd. Butwal
46 Siddhartha Development Bank Ltd. Butwal
47 Citizens Bank Biratnagar
48 Malika Vikas Bank Dhangadhi
49 Pashupati Development Bank Banepa

Reward & Achievements

- NIC Bank is the first commercial Bank in Nepal to receive ISO

9001:2000 Certificate for quality management system.
- NIC Bank become the first Bank in Nepal to be provided a line of
credit by International Finance Corporation (IFC), an arm of World
Bank Group under its global trade finance program, enabling the
banks letter of credit and guarantee to be acceptable conformed by
more than 200 banks worldwide.

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NIC Bank has been able to record substantial increments in balance sheet size and profit since last couple of
years. Key financial figures for the last five years are exhibited in the table below:

Description 2008/09 2007/08 2006/07 2005/06 2004/05 2003/04

(Unaudited)
Deposit & Borrowings 16,240 13,419 10,420 9,224 6,692 5,216
Risk Assets 13,679 11,265 9,129 6,902 4,909 3,743
Investments 3,026 2,311 1,600 2,480 1,573 1,761
Operating Profit 489 367 291 212 202 150
Net Profit 317 243 158 97 114 68
Net Profit / Total Assets (%) 1.69 1.60 1.36 0.93 1.52 1.15
Capital Adequacy Ratio (%) 14.6 13.1 12.20 13.54 13.29 13.75
Non Performing Loan / Total
0.9 0.9 1.10 2.60 3.78 3.92
Loan (%)
Net Worth 1665 1303 918.0 766.5 684.2 620.4

Product and Services

The Bank believes in continuously offering new and value added services to its customers,
with commitment to quality and value to its clients at the same time. Accordingly, the Bank
has been in the forefront in launching innovative and superior products having unique
customer friendly features with immense success.

The products and services offered by the NIC Bank through its branches all over the country
are as follows:

1. Deposits

NIC Bank has maintained various type of deposits accounts as it’s the only main source of
banking activity. Also has been providing different facilities in each account.

a. Current Account

NIC Bank is committed to making banking easier and more rewarding for you. That is why we have a service
account best suited to firms/organizations to deposit and withdraw cash anytime through Counter or self-service
devices.

This is an account designed for customers who are looking for a basic package of banking services by maintaining
a minimum balance of as low as Rs.10, 000 only.

You get your money whenever it is needed.

b. Normal Saving Account

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It can be opened with a minimum balance as low as NPR 5000 and helps to can interest of 3% p.a.

c. Call Account

It is similar to current a/c and does on daily basis yield interest.

d. Fixed Deposit Account

NIC Bank's Fixed Deposit Account is tailored to give you very competitive interest rates. You can be assured of
maximizing the growth potential of your savings with us.

Earn premium interest rates from the Fixed Deposit Account's tier rate structure.

Let your money be safe with us and we will make your money work for you.

Tenures

Deposit Rates Prime (%p.a.) Others (%p.a.)

1 month 4.25 4.00
3-6 months 4.50 4.25
1 year 5.75 5.50
> 1 year to 2 years 6.00 5.75
> 2 year to 5 years 6.25 6.00
Above 5 years 6.50 6.25
Structured Deposits Negotiable

e. NIC Business Account

NIC Business Account (NBA) is an interest bearing account aimed at businesses. It is being targeted to
Proprietorship firms, Enterprises, Partnership Firms, Private / Public Limited Companies, etc. who maintain/have
a need for opening the accounts with bank. Still many firms and companies are out of reach of the banking. NIC
Business Account encourages such businesses to maintain accounts by offering interest on daily balance with lot
of free and discount banking facilities.

Its facilities include:

 Free ABBS Facility

 Free Mobile and Telephone Bill Payment
 50% discount on locker
 Salary Management Solution

F. NIC Life Saving Account

Features:

• Interest rate of up to 5% p.a.

• Free Life Insurances of Rs. 100,000 with Rs. 200,000 of accident cover
• Free ATM card issuance
• Free any Branch Banking Facility

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 • Free inward remittances
• 25% discount on Locker Facility (subject to availability)
• 50% discount on Draft issuance
• 50% discount on Travelers Cheque Issuance
• Multiple/Unlimited withdrawal facility
• No maintenance fees
• Free Statements upon request
• Extended Banking hours including 365 days Banking
• And many more benefits

g. Karmashil Bachat Khata ( KBK )

Karmashil Bachat Khata (KBK) specifically designed to provide an opportunity to save small amounts with high
returns and various other facilities and cultivate banking habit. This account is developed to avail banking
opportunity to middle level working professionals and low /middle class individuals working in various
private/government/social organizations, students, retired professionals and farmers, etc.

Features:

• Initial deposit of Rs.500

• Interest rate of 3 % p.a.
• Free NIC Cash Card issuance
• Free SMS Banking facilities
• Free ABBS facility
• Telephone/mobile bill payment facility
• 25% discount on locker facility
• 50% discount on Draft & Travelers Cheque Issuance.

h. NIC Shareholder Saving Account ( NSS )

NIC Shareholder Saving Account ( NSS ) was launched in the year 2007 A.D. with the facility
of 4% p.a. interest for the minimum balance of NPR 1000. The account provides accidental
insurance up to NPR 1000. The account provides accidental insurance up to NPR 100000
and other facilities are like as above.

i. NIC Sikshya Kosh

Proper education plays the most important role in making a child's future. Education today has become very
expensive and thus one needs to save today to be prepared to meet the needs for their child's future education.
NIC Sikshya Kosh helps you to save every penny possible today to give you a lump sum amount in future with
lots of other benefits and also teach your child the importance of money and inculcate saving habits.

Features:

• Account can be opened with a minimum of Rs 100

• Interest rate of up to 5% p.a
• Free ABBS Facility
• Free Inward Remittance
• Withdrawal allowed in case of emergency.
• 25% and 50% discount on locker and draft issuance charge for the account holder/guardians/parent.

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J. NIC Super Deposit

"NIC Super Deposit" a term deposit with a never heard interest rate of up to 9% p.a. bundled with flexibility of
a savings account, is an innovative product developed by NIC Bank with simplified operational procedures. This
unique product offers you an investment opportunity, allowing you to earn high returns on your savings today
and at the same time allowing you to use it in case of need.

Features

• Tenor of 3 years or 5 years

• Interest rate of 8% p.a. for 3 years and 9% p.a. for 5 years.
• Chequebook will be provided for withdrawal at any time in case of need along with the fixed deposit
receipt.
• Savings account can be opened with balance of only Rs 500 with free debit card. Family members of the
account holders can also enjoy this facility.

Documents Required:

Individuals

• Duly filled application form

• 2 copies of Passport size photograph
• Copy of Citizenship Certificate/ Passport/ Driving License or Voter's ID

Organizations

• Duly filled application form

• Firm registration certificate and copies of PAN/VAT registration and partnership deed in case of
partnership firms
• Firm registration certificate and copy of PAN/VAT registration in case of proprietorship firms
• 2 copies of passport size photograph of account operators
• Copy of citizenship certificate/ passport/ driving license or Voter's ID
• Company registration certificate, MOU and MOA, board resolution for account operation and photocopy
of PAN/VAT registration in case of company.

k. NIC Saving Plus

NIC Savings Plus, a special savings account designed to meet the needs of individuals and not-for-profit
making organizations, offers interest on daily balance

Features:

• Interest Rate:
o Up to Rs. 2.5 million : 4% p.a.
o Above Rs.2.5 million to Rs.10 million : 5% p.a.
o Above Rs. 10 million to Rs. 30 million : 6% p.a.
o Above Rs. 30 million : 6.5% p.a.
• ABBS Facility : Free*

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*(Unlimited for account holders of Kathmandu valley in Kathmandu valley branches and up to Rs.10, 00,000/-
per day for other branches)

l. NIC Corporate Super Account

NIC Corporate Super Account, highly beneficial for institutions and organizations of profit-making nature
offers interest rate of up to 6% p.a. on daily balance.

This account expects to help the business units increase their income by offering attractive interest of up to 6%
p.a. on daily balance and free ABBS (Any Branch Banking Service) facility provided by the Bank

Interest Rate:

• Up to Rs. 2.5 million : 4.5% p.a.

• Above Rs.2.5 million to Rs.10 million : 5% p.a.
• Above Rs. 10 million to Rs. 20 million : 5.5% p.a.
• Above Rs. 20 million : 6% p.a.

m. Mero Bachat

"Mero Bachat", as the name suggests is a savings account developed to suit everybody's needs. It is an account
that allows even small depositors to avail banking services. This account can be opened at Rs. 10 only and is also
suitable to open for IPO purpose.

Features:

• Targeted to Individuals
• Minimum balance of Rs 10
• Interest rate of 3% p.a.
• Free ABBS facility up to Rs.50,000 per day per Branch
• Cheque issuance and interest calculation after account balance reaches to Rs. 2500

2. Loans and Advances

Though loans and advances are common type of lending, NIC has various loan products to
offer its customer:

a.) NIC Small Business Loan (SBL)

SBL, a unique product which is structured around term loan and overdraft is available for the businesses and self
employed personal to grow businesses. A combination of term loan and overdraft loan best meets the capital
expenditure and working capital needs of the businesses.

Features and Benefits

Financing up to Rs 10 million (1 crore)

Easy Documentation process

72
Tenore: Up to 6 years
Maximum Portion of overdraft: 50% of the loan amount.

b.) NIC SME Trade and Industry Loan

SME T&IL is yet another innovative product under SME loans. The loan is suitable for expansion of the existing
business to another level and to broaden the scope of enterprises to a new direction. A combination of fund based
and non fund based facility facilitates in financing working capital, capital expenditure and trade related
requirements

Features and Benefits

SME-T&IL is essentially a leading product with both funds based and non funds based credit facilities to meet
total financing requirement of SMEs. Per borrower exposure under this product is restricted to Rs 40 million with
a cap of Rs 20 million on fund based.

Purpose To finance working capital requirement, capital expenditure

(including refinance of equity) and for trade (LC/TR) facilities
Maximum credit limit Rs 40 million
Minimum credit limit Rs 1 million
Tenor OD: Revolving; renewal every year subject to satisfactory
performance review; repayable on demand. Fixed Term Loan
(FTL): Maximum up to 5 years; repayable in equal installment
monthly/ quarterly installment.
Minimum Age of Minimum 2 years' of profitable operation; or minimum 2
Business years' of experience of key person(s) in the related business.
Financial Health Pvt. Ltd. Companies: Audited financial statements of last 2
Assessment years and projected financial statement of minimum of one
year
Proprietorship/ Partnership Firms: Audited/Management
prepared financial statements for last 2 years and projected
financial statements of minimum of one year.
Latest financial statements must not be of older than 6 months.

3. Consumer Banking

NIC Bank has been one of the pioneers in introducing new and innovative consumer lending products. We are
dedicated to satisfying and out-serving our customers and in the process bringing products that meet their
requirements and aspirations. Due to our continuous effort to satisfy our customers we have strengthened our

73
position to the top 3 in the home loan league .

• NIC Ghar Subidha

• NIC Sajilo Karja
• NIC Auto Loan
• NIC Education Loan

a. NIC Ghar Subidha (NGS):

"NIC Ghar Subidha" is a personal property-finance suite of products with unique features never before introduced
in the Nepalese market. It is aimed at helping make it possible for every middle class Nepali family's dream of
living in one's own house come true. With the low pricing and other features bundled in the product, a middle
class family will not have to wait until retirement to fulfil its dream.

Purpose:

• Purchase of house/apartment/land
• Construction of house
• Renovation/extension of house
• Finance against own house/land
• Refinance of existing loans with other financial institutions.

Basic Features:

• Amount Rs. 0.5million to Rs. 15 million

• Loan Tenure: 2 years to 20 years
• Loan fee: 1%
• Repayment: Equated Monthly Instalments (EMI)

Interest rates:
Tenure Re-finance of existing loans New Loans
1st year 7.99% p.a.
Up to 5 years 9.49% p.a. 8.99% p.a.
Up to 10 years 10.49% p.a. 9.99% p.a.
Up to 15 years 10.99% p.a. 10.49% p.a.
Up to 20 years 10.99% p.a.

b. NIC Sajilo Karza (NSKza)

NIC Sajilo Karza (NSKza) is a simple overdraft facility developed to cater to the personal financing needs of
salaried individuals, self-employed, professionals and owners of small family businesses. It is structured as a
simple easy-to-use and easy-to-understand overdraft facility, which provides full flexibility for withdrawal of funds
and repayment at the borrower's convenience without the need for any further bureaucratic process once the
limit is set up. The major attractions of the products are very simplified loan approval process, borrower-

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determined usage and savings on interest cost.

Features:

Amount Rs. 0.5million to Rs. 15million

Tenure 1 year (renewable)
Loan fee 1%
Interest payment monthly

Interest Rates:
Amount Interest Rates (per month)*
Less than Rs 1Mn 1.02%
Rs 1Mn to less than 2.5Mn 0.98%
Rs 2.5Mn to less than 5Mn 0.94%
Rs 5Mn to less than 7.5Mn 0.90%
Rs 7.5Mn to less than 10Mn 0.87%
Rs 10Mn and above 0.84%

* The interest rates mentioned above are based on annual rates assuming 365 days in a year and an average of
30.42 days in a month. Actual interest applied could vary depending on the actual number of days in a month.

c. NIC Auto Loan

"NIC Auto Loan" will help you to "Move in Style" by owning a vehicle of your choice. Be it a Personal or a
Commercial Vehicle you can get what you want with NIC Auto Loan.

Basic Features:

• Loan amount: 70% - 80 % of cost

• Rate of interest: 10% p.a. to 11% p.a.
• Tenure: 4 to 6 years
• Processing fee: 1%
• Second hand vehicle financing available.

d. NIC Education Loan

NIC Education Loan is a specially product to meet the financing requirements of students pursing higher
education for a brighter future.

Basic Features:

• Amount: Rs 0.50 million to Rs. 5 million

• Tenure: Up to 10 years
• Interest: 10% p.a.
• Processing fee: 1%

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4. Transaction Banking:

a. SMS Banking
SMS Banking is specially designed service that enables you to connect with NIC Bank 24 hours a day through
your cell phone and updates yourself on your account through your mobile. Following service can be accessed
with NIC SMS Banking.

1. Account Balance Enquiry

2. Transaction History (Last 5 Transactions)
3. Chequebook request
4. Statement request

b. ATM/Debit Cards
NIC CashCard allows its holder to withdraw cash, inquire balances and make payments through a wide network
of ATMs and POS machines of SCT Network in Nepal and more than 1,000 ATMs of Punjab National Bank under
FSS Network in India. NIC CashCards can be availed of without maintaining account also.

c. Fund Transfer

Funds can be transferred across the country by way of ABBS and Fax Transfer through 14 NIC Bank Branches
and 22 branches of Bank of Kathmandu and Drafts can be drawn on NIC Bank Branches. Similarly, the Bank has
draft drawing arrangement with correspond banks in different countries. The Bank issues demand drafts in
following currencies.

US Dollar
GB Pound
Indian Rupees
Aus Dollar

The bank also transfers the funds through swift across the globe.

Remittance

NIC Bank is an authorized agent/sub-agent of following national and international remittance companies which
enables our customers to receive money from different countries like UK, USA, Malaysia, UAE, Kuwait, Saudi
Arabia and many other countries around the world.

1. Western Union Money Transfer

2. Xpress Money Transfer
3. Samsara Pvt Ltd
4. Continential Financial Services P Ltd

d. Purchase & sale of Travel Cheques

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NIC Bank provides "American Express Bank Traveler's Cheque" in following currencies.

US Dollar
GB Pound
EURO

The Bank has many discounted pricing for TC issuance for students going abroad for higher education.

e. Clearing & Collection Services

The Bank offers free of cost clearing service and Cheque and Drafts collections within the country/ across the
globe with very minimal charges.

f. Safe Deposit Locker

NIC Bank provides Safe Deposit Locker facility enabling its customers to safeguard their valuables, jewelleries,
and important documents from following branches.

New Road Branch

Lalitpur Branch
Janakpur Branch
Birgunj Branch
Pokhara Branch

g. Any branch banking system

All the branches of NIC Bank are inter-connected with V-Sat and are capable of providing online, real-time
transactions to its customers. The customer maintaining following accounts and the corporate customers, which
have especial arrangement can enjoy free ABBS facility and others by paying very nominal charges.

NIC Life Savings Account

Karmashil Bachat Khata
NIC Shareholders Savings
NIC Shikshya Kosh Khata
NIC Business Account

h. Extended Counter Services

NIC Bank is providing following extended counter services.

365 Days Banking

NIC Bank is open for 365 days at following branches.

Branch Time Remarks
Kamaladi From 11.00 AM to 2.00 PM On public holidays

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Services

Cash Withdrawal/Deposits
FCY buy and sale
TC issuance and encashment
A/C opening/ Amendments

Evening Counter

The Bank is providing evening counter service to its customers from following branches from 5 PM to 7 PM
Sunday3 through Thursday and 3 PM to 7 PM on Friday.

1. New Road Branch

2. Lalitpur Branch
3. Surya Binayak Branch
4. Birtamod Branch
5. Nepalgunj Branch

Services

Cash Deposits (up to 1.0M)

Cash Withdrawals (up to 0.5M)

5. Bullion Business

It includes main two Products:

a. NIC Pure Gold

NIC Pure Gold is a first-of-its-kind innovative product ever introduced by a bank in Nepal. Though there is a
sizable demand of gold in Nepal, hardly any quantity is imported officially. The majority of gold consumed in
Nepal is believed to be brought in through the porous border without declaration and a huge amount of Indian
currency is believed to be flowing out from Nepal due to this reason. Furthermore, consumers are always
uncertain of the quality of gold they are buying. With NIC Bank now importing certified 99.9% pure gold from
reputed international mints/suppliers unofficial import is expected to be discouraged, contributing to increase in
government revenue and ensuring assured quality to consumers & gold traders.

Under "NIC Pure Gold", NIC Bank is offering high purity (99.9% & 99.5%) gold bars imported directly from
international mints. The gold, thus offered by the Bank, can be purchased by anyone including gold dealers
(wholesalers and retailers), investors as well as the general public. The Bank also offers a facility to avail loans
from the Bank to purchase the gold. The Bank also offers custodial service under which buyers may choose to
keep the purchased gold safely in the Bank instead of taking the high risk of storing it at home.

Some distinct features of NIC Pure Gold are:

• 99.9% and 99.5% pure gold from international mint (quality certified)
• Loan available for purchase of gold against pledge of the same
• Custodial service for the gold purchased from the Bank
• Bank receipt for purchases
• Available in 100 gram (99.9% pure) and 1 Kg (99.5% pure) bars (smaller denominations & coins in
near future)

78
 • Currently available for purchase from the Bank's New Road, Kamaladi, Birgunj, Biratnagar, Dharan,
Pokhara and Janakpur branches

b. NIC Pure Silver

NIC Bank repeats the history again by becoming the first among financial institutions in Nepal to import 99.9%
pure silver granules from the international mint and making it available in the local market in 10 Kg pack after
already becoming the first commercial bank to import 99.9% pure gold from the international mint.

Silver goods manufacturers / traders were facing difficulties as silver was available in huge bar of more than 31
Kg in the local market, which was not only causing difficulty to carry from one place to another but also needed
huge investment for stocking it. In addition to this, they were also facing problem for cutting the bar into smaller
pieces and safeguarding it. Whilst silver granule was also available in the market but its purity was said to be
below 97%, which was not supporting the manufacturers for manufacturing quality products.

With the introduction of NIC Silver under the bank's products-basket, NIC Bank expects to contribute to the silver
crafts and jewelries industry by providing it an easy access to pure silver granules, that's too in easy to carry
pack of 10 Kg and help them to get rid of difficulties outlined above and benefit the ultimate buyers with
qualitative products and value for their money.

Some features of NIC Silver are:

• 99.9% pure silver granules imported from international mint.

• Available in 10 Kg pack.
• Bank receipt for purchases.
• Loan available for purchase of silver.
• Custodial service for the silver purchased from the bank.

6. Other services and Products

It includes varieties of services such as:

a. Letter of Credit

NIC Bank through its wide international network with more than 200 banks is able to
offer both imports and exports letter of credit (LC) to its varied customers.

b. Guarantees

Amongst the different products, Bank Guarantees is the other type of product launched
and offered by NIC Bank to its customers seeking in the different taste and preference of
the customers and issuing the required guarantees.

Other Products under this category are:

1. Pledge Loan
2. Margin Lending
3. Loan Against Fixed Deposit
4. Loan against First Class Bank Guarantees
5. Deprived Sector Lending

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c.Remittances

NIC Bank too, alike the other Banks Provides remittance facility to the customers,
thereby making link with several companies such as:
• Samsara Private Ltd.
• Xpress Money Transfer
• Western Union Money Transfer
• Continental Financial Services Pvt. Ltd.

d. Traveler’s Cheque

It’s a cheque issued by the Bank for those people who frequently travels around the
different people and does monetary transaction but does not seen willing to carry cheque.

e. Bank Draft

It’s another negotiable means of cashless payment issued by NIC Bank to its customer,
which can be used by the customers against the same Bank or any other third Bank.

f. Card Business

NIC Bank issues “ NIC Cash Card’’ that can be used by the customers through the
network of ATM’S and POS machine under ‘The SCT Network’ in Nepal and FSS
Network in India. This type of Plastic cards can be used for goods and even fund transfer.
Also, such cards can be availed without maintaining any account.

g. Fund Transfer

NIC Bank provides fund transfer services through ABBS, Fax transfer and Demand
Drafts.

h. Project Finance

It is designed to meet the short and long term financial needs of projects. The Bank can
finance the project individually or through a consortium of banks. Financing is generally
provided up tenure of 5 years and up to the 60% of the total project cost.

i. Working Capital Finance

under the working capital finance, the Bank offers products like overdraft, demand loan
and other working capital facilities to the business firms to meet the seasonal as well as
regular Working Capital Requirement of the Bank.

j. Trade Finance

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The trade Finance Products of NIC Bank includes the following:

• Trust Receipt Loan

• Export Loan
• Packing Credit/Pre-Shipment Loan
• Post Shipment Loan
• Import Loan
• Other Trade Finance Solution too.

Along with these varieties of services and products, NIC Bank too has emphasized in:

• Purchased and sales of Traveler’s Cheque.

• NIC SMB Banking
• Clearing and Collection Services
• Safe Deposit Lockers
• Any Branch Banking System (ABBS)
• 365 Day Banking Services
• Evening Counter Service etc.

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