From the looks of the things, import of gold and silver will not resume at least in next few days due to delay in framing guidelines regarding import of gold and silver by commercial banks. The Ministry of Commerce and Supply (MoCS) has finally asked the central bank to prepare a guideline for commercial banks, stating terms and conditions for the import of gold and silver.
MoCS request comes after two weeks since the financial ordinance has lifted the ban on the import of gold and silver. However, the ministry has asked the central bank to consult it while preparing the guidelines. We sent the official letter today to Nepal Rastra Bank (NRB), asking to draft a regulation regarding bullion import, said Purushottam Ojha, Secretary at MoCS. The MoCS letter has asked NRB to frame the regulation in coordination with the ministry. Thus, this will take a few days more," said Gopal Kafle, Spokesperson for NRB.
If NRB alone had to prepare the regulation, it would have been ready in a day. But now, we have to prepare it in consultation with MoCS. It may take a little longer," he added. The government officially lifted the ban on import of gold and silver two weeks ago, authorising commercial banks as the sole importer for both gold and silver. However, commercial banks fall under the jurisdiction of NRB.
The central bank is yet to issue guidelines for commercial banks to follow regarding import of the precious metals. Until the guidelines have been issued, commercial banks do not have the authority to import or sell gold and silver to traders. Most importantly, NRB needs to fix the import quota for both the metals.
Source:
tht
Monday, December 6, 2010
Gold import hits a new roadblock
Bonus Share of Civil Merchant Bittiya Sanstha
The BOD meeting of the Civil Merchant Bittiya Sanstha Ltd dated 2067-08-15 has decided to propose 30 percent bonus share on subject to approval from NRB and upcoming AGM.
Source:
nepalstock.com
Mahalaxmi Finance into 17th Year
Mahalaxmi Finance entered into the sixteenth year of operation on Wednesday. The finance company has plans of distributing 7.75 per cent dividend of its net profit. The decision has to be endorsed by the company's annual general meeting. The company was able to collect Rs 2 billion as deposits and floated loans worth Rs 2.17 billion till the mid-November. The company with its branches at Birgunj, Kalaiya, Narayanghat, Kathmandu, Hetauda and Malangawa provides modern banking services including any branch banking.
Source:
tht
Appointment of new stock brokers faces fresh setback
It has already been three years since the attempt for adding stockbrokers in the capital market started. However, the process doesn't seem to be completed any time soon. The process has been stuck in the Securities Board of Nepal (SEBON) after the Nepal stock Exchange recommended 34 names of prospective stockbrokers. SEBON, the capital market regulator, will have to select the final 27 names.
The process prolonged after SEBON received complaints against around five prospective stockbrokers. "We are probing on the basis of complaints," said Surbir Poudel, chairman of SEBON. The recommended names against whom the complaints have been filed are charged of being involved in the companies listed in the stock market. One of the eligibility criterions for the potential stockbrokers was that they should not have been involved in any company listed in the stock market. Proprietor of one of the prospective stockbrokers has been charged of working in SEBON itself. "It will take some time to take final decision," said Poudel. "We will have to explore documents."
The board will take a final decision itself only if all the issues become clear. "Otherwise, we will return the recommended names to NEPSE for review," said Poudel. SEBON can remove the recommended names from the list, if the allegations proved to be true. "If NEPSE is found to be involved in irregularities, we will take action against it as well," said Poudel. If the complaints couldn't be proved and the cases settle, people will again be given another chance to file complaints against the recommended names.
With the high possibilities of business growth amid growing number of companies, investors and shareholders and increased market capitalisation, a lot number firms have been interested in stockbrokerage business. Currently, there are 23 stockbrokers, whose number had actually decreased from initial 31, despite the growth of the capital market over the last one-and-a-half decades after the establishment of NEPSE.
Of the 34 companies recommended, a few of them have obtained equal marks. Determining the status of these firms will require some time. SEBON can select the companies through lucky draw or other measures. After the completion of the investigation, the board will allow the recommended firms to apply for licences. After they complete all the procedures, SEBON will give them some time for infrastructure development. It will then observe the condition of infrastructure and provided license.
The recommended stockbrokers say that attempts are being made to restrict them from getting licence. "Examination was taken on transparent manner," said a chief of a recommended firm. "Conspiracy is being hatched not to allow adding new stockbrokers and crate ground for conducting new round of examination." NEPSE had also received complaints against few prospective firms prior to recommending the names. Two firms, against whom the complaints were proved, were de-listed. The NEPSE investigation had revealed that people involved in both the firms were also involved in listed companies.
The process of adding new brokers has remained stagnant since 2007 after the Commission for Investigation of Abuse of Authority termed the process non-transparent. The Supreme Court gave a go ahead to the process a year ago, however, the process has not concluded yet.
NCC Bank & IME join hands
Nepal Credit and Commerce Bank (NCC Bank) has entered into an agreement with International Money Exchange (IME) regarding the operation of remittance services. Under the agreement, the money sent through IME network from foreign countries can be recieved at NCC bank's any branch throughout Nepal. The bank has 17 branches across Nepal.
Source:
tht
Thursday, November 11, 2010
NRB warns money changers of nixing license
Nepal Rastra Bank (NRB) has warned of cancelling the licenses of 100 companies involved in foreign exchange transactions for failing to show their paid up capital status and not serving customers as per the Foreign Exchange Regulation Act. The central bank warned the money changer companies, cargo companies, travel agencies and hotels and has set a deadline to fulfill their obligation on time. It found in a recent study of 200 companies involved in foreign exchange transaction that most of them do not have the amount of paid up capital that they had mentioned while registering themselves.
"We have given them a three-to-six months deadline to correct their deficiencies," said a senior NRB official. "Their licenses will be cancelled automatically if they fail to fulfil their obligation." Apart from unclear paid up capital status, the companies not displaying the exchange rate publicly, failing to ensure adequate security measures and not giving receipt while changing foreign currency have also been warned. The central bank can cancel the license as an extreme penalty, ranging from issuing warning notice if any company involved in foreign exchange transactions violates the Act.
The paid-up capital of a company is one of the main bases that the central bank considers before issuing a license to deal in foreign exchange. All companies, including banks and financial institutions are required to obtain a separate license from the central bank to conduct foreign exchange transactions. These companies given warning had shown paid up capital ranging from Rs. 1 million to Rs. 500 million on paper. Even the big hotels failed to show their paid up capital status, according to NRB officials. Banks and financial institutions examine the paid up capital of a company before loaning it money. If a company is liquidated, its liabilities are covered from the paid up capital.
The central bank's finding also indicates that many companies registered with the Office of the Company Registrar (OCR) might have no real paid up capital. OCR deputy registrar Laxman Takur said that he was unaware of the findings of the central bank. "We register the company related to foreign exchange transactions such as money changers and money transfer companies only after getting the opinion of the central bank,' he said. According to OCR, it has been registering the companies after getting clearance of paid up capital by auditors. "There is, however, no compulsion for private companies to produce evidence," said Thakur.
Source:
ekantipur
Gold close to Rs 40,000 per tola
Domestic gold market recorded a whopping jump of over Rs 1,300 per ten grams to hit new high of Rs 39,600 per tola (11.664 grams) on Tuesday as the market opened after four-day Tihar festival. Gold was priced at about Rs 38,300 per tola when the market closed for the festival on Thursday last week. The gold dealers attributed the rise to increase in international prices of the yellow metal.
International gold price had risen to record US$ 1,414.60 per troy ounce (31.103 grams) on Tueday on the back of sliding dollar. As such economic woes instantly impel investors to switch to gold -- the safer haven -- it spurred demand causing the global prices to shoot up. However, local dealers fear that such huge rise in prices could cause sales to recoil, especially as the new wedding season is starting from November 21 and they were expecting to make a good business over the next one month.
"After long-running shortage, we had just started to witness growth in business. But the price inching close to new psychological level of Rs 40,000 per tola has dampened that prospect," said Tej Ratna 0Shakya, president of Nepal Gold and Silver Dealers Association. Dealers even anticipated the prices to jump further over the next few days adding woes to Nepali gold market that had been in tatters over the last couple of months, mainly after the government banned its import on failing to maintain higher tariff due to the lack of political understanding on the issue.
While the step was aimed at curtailing the country´s soaring trade deficit, it had caused short-supply, triggering inward smuggling of gold from India. "We had failed to meet the demand in the weeks before and after Dashain due to inadequate supply. Now when situation started to improve with Nepal Rastra Bank (NRB) auctioning out 100 kgs of gold every week, a new wave of price rise threatens to rattle customers," said Shakya.
Gold and jewelry dealers have been anticipating sales to rise by 50 percent during the upcoming wedding season. This would have soared sales volume to some 30 kgs a day. But with the price rise, they anticipate the people to recycle their old ornaments to meet their family and social obligations. "We expect the demand to plummet now," said Shakya. Dealers stated that they anticipate the recycled use to jump to 50 percent, limiting fresh sales to around 15 kgs a day. That is not all. Silver too hit new high of Rs 664.50 per ten grams (Rs 775 per tola) in the local market. The rise again is attributed to international market as silver was traded at US$ 28.16 per troy ounce, which was a 30-year high, Tuesday.
Source:
myrepublica
Bonus Share: Machhapuchhre Bank Ltd
The BOD meeting of the Machhapuchhre Bank Ltd dated Kartik 16, 2067 has decided to distribute Bonus Shares that equals to Rs. 147926960 subject to approval from AGM and Nepal Rastra Bank.
Source:
nepalstock.com
Nepse lists over four million-unit shares in a week
Nepse added 4.1 million unit of shares including rights, ordinary and bonus of Sunrise Bank, Sahayogi Bikas Bank and Nepal Finance during the last week before the festival of Tihar. The secondary market saw 6883 transactions of 102 companies worth Rs 124.53 million that is 8.75 per cent higher than a week ago. Similarly, domination of the Class-A companies has also come down to 39.56 per cent as they saw Rs 49.2 million transation only.
However, the Nepse could not perform any better than a week ago as the Nepse gained only 0.06 point to close the market at 424.96 points from the Sunday morning's opening of 424.90 points. The sensetive index gained 0.27 point to close at 104.19 points. Commercial banks, insurance and finance sub-groups surged but hydropower and development banks lost, whereas manufacturing, hotels, and trading groups didnot witness any changes in their indices.
Merchant Finance topped the chart with the highest transation amount and share units that saw Rs 17.5 million worth trading of its 906-unit of shares. Similarly, Agriculture Development Bank Nepal topped the chart with 906 trading. Meanwhile, the year on year Nepse has declined by 35.6 per cent to 404.43 points in mid September, according to the central bank. It stood at 628.34 points in the same period last year. Similarly, sensitive index stood at 98.94 point in mid September against 160.79 points in the same period last year. The float index ¿ calculated on the basis of closing price of August 24, 2008, as base market value ¿ remained at 37.15 in mid September, a contraction of 37.8 per cent compared to same period last year. The market capitalisation also decreased by 25 per cent to Rs 330 billion in the first two months of the current fiscal year. "The ratio of market capitalisation to GDP stood at 28 per cent," the central bank said, adding that the ratio was 45.9 per cent in the same period last year. Of the total market capitalisation, bank and financial institutions stood with highest share of 71.5 per cent followed by manufacturing and processing companies (2.4 per cent), hotels (1.6 per cent), business entities (0.5 per cent), hydropower (4.8 per cent) and other economic sectors (19.3 per cent).
Total paid up capital of the listed companies stood at Rs 86.34 billion in mid September ¿ an increase of 35.6 per cent over the period of one year. This increase was largely due to the additional listing of securities. As at mid September, Nepse listed securities worth Rs 12.39 billion (ordinary share of Rs 4.62 billion, bonus share of Rs 226.5 million, right share of Rs 2.56 billion and government securities of Rs 4.99 billion). The total number of listed companies stood at 180 in mid September compared to 159 in the same period last year. Among them, 148 are banks and financial institutions (including insurance companies), followed by 18 production and processing industries, four hotels, business entities and hydropower firms each and two firms in other groups.
Source:
tht
Save the Children & Bank of Kathmandu
An agreement was signed between Save the Children and Bank of Kathmandu (BoK) on Tuesday formally to launch the YouthSave project in Nepal. Brian J Hunter, country director of Save the Children and Ajay Shrestha, CEO of BoK signed the agreement. YouthSave is a multi-country learning project to encourage low-income young people aged 12-18 in developing countries to save through formal sources for a better future. Supported by The Master Card Foundation, the project will be implemented in four countries including Nepal by a consortium of four organisations led by Save the Children. The project is being implemented in Nepal, Colombia, Kenya and Ghana from 2010 through 2014. In Nepal, Save the Children has partnered with BoK to develop and roll out a savings product across the country that will encourage engagement of low-income youth in the banking system.
Source:
tht
Sunday, October 10, 2010
New NIC branch at Gaur in Rautahat
NIC Bank opened its 28th branch at Gaur in the Rautahat district. The branch will provide all the modern banking facilities including Internet banking. The bank also announced a cash dividend of 26.32 per cent for the year 2009-10, subject to approval of Nepal Rastra Bank (NRB) and the bank's Annual General Meeting. The bank posted a net profit of Rs 450 million for the year and a growth of 42 per cent, compared to the previous year. The bank has a customer base of over 100,000 and has installed 25 ATMs in the country.
Source:
tht
Friday, October 8, 2010
12.5% Bonus Shares & 5% Dividend Declared by Nepal SBI Bank
Nepal SBI Bank, on its 264th Board Meeting, has declared dividend of 12.5 bonus shares per 100 shares plus 5 percent cash dividend for FY 2066-67. Additionally, the meeting approved the bank's financials and the appropriation for the year.
As per the approved financial statements, Nepal SBI Bank earned operating profit of Rs. 57.3 Crores, a growth of 28.92 percent from total deposit mobilization of Rs. 34.90 billion and disbursement of Rs. 17.96 billion as loans and advances. The bank posted after tax profit of 39.17 Crores during the review year.
The Board has also decided to submitted the proposed divided to the Nepal Rastra Bank for approval to place as agenda for upcoming 17th Annual General Meeting of the Bank.
Source:
Jamb News Service
10% Bonus Share & 37% Cash Divided: Arun Valley Hydropower
Share trading of Arun Valley Hydropower Development Co. Ltd has been resumed while the BOD meeting of the company dated 2067/06/03 has decided to give 10% bonus share and 37% cash dividend.
Source:
nepalstock.com
CDS facilitates electronic share ownership
The Central Depository System regulation went into effect Wednesday paving the way for the establishment of CDS companies. The Securities Board of Nepal, which recently endorsed the regulation, will be implementing it. "With the opening of CDS companies, share ownership transfers will be done electronically instead of manually as is being done presently," said SEBON. As the CDS facilitates electronic record keeping of the data related to the listed companies and their stock besides the accounts of the shareholders, ownership transfer and share trading can be done in a flash.
Although the Nepal Stock Exchange automated trading on Aug. 24, 2007, the clearance and settlement of transactions are still being done manually. "If things go smoothly, the CDS company will come into full-fledged operation within this fiscal year," said Surbir Poudel. "It will not take much time as the process of establishing the company was progressing simultaneously with the CDS regulation." SEBON and NEPSE are working to establish the CDS system with the technical assistance of Central Depository Services India Limited. NEPSE will be a major stakeholder in the company along with the listed companies and security traders (merchant banks and stockbrokers). As per the regulation, the stock exchange, commercial banks, citizen investment trust, foreign institutional investors, non-banking financial institutions, depository participants and firms referred by SEBON with a minimum net worth of Rs. 200 million can hold shares in the CDS company. According to a NEPSE official, NEPSE has agreed in principle with eight prominent commercial banks and the Citizen Investment Trust to promote a CDS company. A draft of the memorandum of association and the articles of association of the proposed company has already been prepared, added the official.
Source:
ekantipur
Machhapuchhre Bank enters 11th year
Machhapuchhre Bank Ltd (MBL) on Sunday celebrated successful completion of its 10 years of operations. According to a press release, till October 1 the bank has posted an operating profit of Rs 86.6 million whereas it has registered a total deposit of Rs 18.44 billion and floated Rs 15.24 billion loans. It has a total paid up capital of Rs 1.47 billion. The bank has a total 39 branch offices, 51 ATMs and about 1.75 lakh customers till date, it said.
Source:
tht
DCBL Bank Ltd bonus shares
DCBL Bank Ltd has decided to distribute 10 per cent bonus shares and 0.53 per cent cash dividend to its shareholders. The decision has to be endorsed by Nepal Rastra Bank and AGM of the bank. The bank earned a net profit of Rs 158.3 million in 2009-10. It has 12 branches and plans to have 20 more branches, said the bank.
Source:
tht
Annapurna Finance donates Rs 50,000
On the occasion of its seventeenth anniversary, Annapurna Finance Company donated Rs 50,000 to Lions Club for the construction of blood collection centre. Issuing a press statement, the company said that the money was handed over by Krishnaraj Lamichhane, the chief executive officer (CEO) of the company to the Lions Club. The company also expressed its commitment towards the continuation of CSR (corporate social responsibility) activities in the future as well. According to the statement, 20 employees from the company donated blood on the occasion.
Source:
myrepublica
Shangrila & Bageshwori dev banks eye merger, upgrade
Two regional development banks have lodged an application at Nepal Rastra Bank (NRB) for a merger, eyeing to upgrade into a national-level development bank. Shangrila Development Bank, based in Pokhara, and Bageshwori Development Bank in Nepalgunj, have recently sought the central bank´s nod for the merger. If the central bank endorsed and the two companies managed to steer the process of merger smoothly, they will become the first development banks to merge. "Board of directors of both the development banks have already endorsed the merger proposal and lodged application as well," said an official at NRB. In their letters to the central bank, they have said that they will take steps towards merger as well as upgrading simultaneously.
For merger, the companies will have to satisfy their promoters and shareholders and define how it will reconcile them in relation to assets and liabilities. It will largely depend on how the banks manage the details internally. To be upgraded into national-level development bank, the two banks need to raise their paid-up capital to Rs 640 million, among others. "The financials of the banks are almost similar and also fine enough to satisfy the central bank. How will they raise the paid-up capital is our matter of interest nonetheless," said the source.
Currently, the paid-up capital of Shangrila Development Bank stands at Rs 79.80 million and that of Bageshwori Development Bank is Rs 69.795 million. Even if they merged, they will together need to re-inject more than Rs 490 million for upgrading into a national-level development bank. To attain that, the companies have unveiled a plan to expedite public issue. But given that IPO alone will not suffice them to raise their capital to Rs 320 million each, both have planned rights issue as well.
So far the two banks have not finalized the possible name of the merged bank. They have also not worked out the structure of the new board. One of the ticklish questions as to who will lead the board and how the directors of two banks will represent in the new structure, remains to be seen. "To sort these issues and resolve possible differences, the boards of these two banks consented at taking decisions through joint meetings," said the source.
Knowledgeable sources said that the two banks took steps for merger especially as a significant chunk of their promoters belong to same groups. For instance, former Chairman of Bageshwori Development Bank Bishwas Gauchan is presently the Chairman of Shangrila Development Bank. Although the central bank has long been suggesting the banks and financial institutions to merge to gain strength and deepen their presence in the market, so far the country has only one success story of National Finance and Narayani Finance to cite. These two finance companies had merged into Narayani National Finance more than a year ago. Five other finance companies operating in different parts of the country too had announced the merger, albeit leading to a failure. At the commercial bank level, Everest Bank Limited and Nepal Investment Bank Limited had recently taken initiative to explore the possibilities of merger but soon announced that the understanding has terminated.
Source:
myrepublica
Paschimanchal Finance Company at New Road
Paschimanchal Finance Company has opened its eighth branch in New Road. The finance company established in 1995 in Butwal has its branches at Kathmandu, Myagdi, Palpa and Syangja. The company has been able to collect deposits worth Rs 1.08 billion and floated loans worth Rs 1 billion in fiscal year 2009-10.
Source:
Tht
Narayani National Finance profit at Rs 122 million
Narayani National Finance (NNF) that was created by merging Narayani Finance and National Finance last year, has posted Rs 122 million as operating profit for 2009-10. The merged company collected Rs 1.65 billion in deposits and floated loans worth Rs 1.165 million in the same period. It has been able to reduce its nonperforming loans to less than one per cent. The finance company has now 4 branches in Kathmandu and three in Chitwan and one in Sunsari, Biratnagar and Myanglung. The company has started any branch banking services and will soon start ATM service. The company has also issued rights shares to increase its capital base.
Source:
Tht
Thursday, September 30, 2010
Cash Dividend of Fewa Finance
The BOD meeting of the company dated 2067/06/13 has decided to give 15.79% cash dividend subject to approval from NRB and its upcoming AGM.
Source:
nepalstock.com
Birgunj Finance Ltd is 7 yrs old now
Birgunj Finance Ltd (BFL) posted an operating profit of Rs 89.1 million in 2009-10. It has collected a deposit of Rs 2.47 billion and floated credit worth Rs 2.25 billion, said the company that celebrated seventh anniversary recently.
Source:
tht
New savings plan: Sagarmatha Merchant Banking and Finance
Sagarmatha Merchant Banking and Finance Ltd (SMBFL) introduced saving account Karmachari Bchat Yojana for working people, offering 10.5 per cent interest rate. Another account Sambridhi Bachat Khata offers 11.5 per cent interest on daily deposits. However, the minimum balance of the account should be Rs 300,000. The accounts can be opened with one rupee and there are no restrictions on deposit and withdraw limit on the two new accounts.
Source:
tht
Cash Dividend of Clean Energy Dev. Bank
The BOD meeting of the company dated 2067/06/10 has decided to give 15% cash dividend from the profit of FY 2066/67 which is subject to approval from NRB and its upcoming AGM.
Source:
nepalstock.com
Saturday, September 25, 2010
NIBL, EBL merger proposal on choppy sea
The proposed merger of Nepal Investment Bank Limited (NIBL) and Everest Bank Limited (EBL) is now on hold following discontent within the NIBL over the proposed plan. Some of the NIBL board members and senior staffers are uncomfortable over the merger plan and claim NIBL Chairman Prithivi Bahadur Pande did not inform them about the plan. The issue was debated in the NIBL's board meeting on Friday. Pande, however, has been maintaining that there had been just a preliminary understanding between the chairmen of two banks. "Now, the whole process is on hold for now," said a senior NIBL official.
The two sides had signed a preliminary memorandum of understanding (MoU) for further negotiations, according to the NIBL letter sent to Nepal Stock Exchange (NEPSE) on Sept 21. The NEPSE had sought details from the two banks following news reports about the proposed merger. The EBL had also responded with similar content in its letter sent to NEPSE on Sept. 17. Both banks have, however, maintained that the initial understanding was yet to be considered and approved by their respective board of directors.
The NEPSE had asked them banks about the status of the merger process to determine if the capital market should suspend the share trading of both. "We have to suspend shares trading of merging banks to prevent a sudden volatility in their share prices," said Shankar Man Singh, general manager of the NEPSE. He, however, said that the NEPSE allowed continuation of shares trading after it was known that board of directors of both banks were yet to endorse the initial agreement. Even the EBL staff were in dark about the proposed merger. EBL Assistant General Manager Hum Nath Gurung said that they came to know about the understanding later. "The rumour and controversy has affected the process," he added. Some board members of the NBIL maintain that the merger can be possible only if NIBL has a majority stake during the merger, amid reports that Pujab National Bank that has a stake in EBL had sought the majority stake.
The issue is likely to be hotly debated in the annual general meeting of EBL that is to be held on Thursday as well. If the process goes ahead, it would be the biggest ever merger in Nepal's banking history. Nepal Rastra Bank (NRB) also has a policy of encouraging mergers amid the growing number of banks and financial institutions so that it creates space for new entrants.
Source:
ekantipur
Book Closure of Nepal Investment Bank
As decided by the 339th meeting of the Board of Directors, the 24th Annual General Meeting (AGM) of the company is going to be held on 27th Ashwin 2067. The bank has decided to close the share transfer from 13th Ashwin, 2067 until completion of its 24th AGM.
Source:
nepalstock.com
15% Cash Dividend of Mahakali Bikas Bank
The BOD meeting of the company dated 2067/06/04 has decided to give 15% cash dividend subject to approval from NRB and its upcoming AGM.
Source:
nepalstock.com
NMB Bank introduces e-pal card
NMB Bank introduced NMB e-pal card from its Banepa branch from Monday. NMB e-pal card can be used in restaurants, departmental stores, medical shops, electronics shops, books and stationary depots, clothing stores, petrol pumps and other shops to make cashless transactions. The bank will soon collaborate with water and electricity authorities so that people do not have to wait in line for hours to pay utility bills. Customers do not need to have bank account to get an e-pal card. Since a customer can buy items through the card and sellers have their account credited automatically, it is believed to be useful.
Source:
tht
25% dividend of Nepal Investment Bank
Share holders of Nepal Investment Bank Ltd (NIBL) today lost Rs 68 per unit share but the bank announced 25 per cent cash dividend amounting to Rs 602,274,425 to its shareholders for the fiscal year 2009-10. The board-meeting of the bank decided on the dividend amount that is subject to central bank and AGM's approval. NIBL will pay a total of Rs 180,682,326 to Rastriya Banijya Bank and Rastriya Beema Sansthan, its government stakeholders who together own a 30 per cent stake in bank.
The bank has also paid Rs 800 million to the government making it the highest tax payer among the Nepali banks and the fifth largest among Nepali corporates. "Overall, Nepal Investment Bank will contribute around Rs 981 million to state coffers, including the profit paid to its government shareholders," said general manager of the bank Jyoti Pandey. "The bank has continued its long term strategy to become the leading bank in the country by pursuing a strategy of growth and delivery of quality financial services."It has achieved remarkable growth over the past eight years. In 2002 it started with a total paid up capital of Rs 0.5 billion and the bank has a paid up capital of 2.4 billion ¿ one of the largest in the country ¿ at present. The bank has a deposit base of around Rs 50 billion and the total assets of the bank have increased to Rs 57 billion this year making it the largest lender in Nepal from Rs 4.9 billion in 2002.
Similarly, Nabil Bank lost Rs 39 per unit share. The bonus announcements and nearing book closure of the listed companies have pulled the Nepse down by 1.99 points to 402.44 points today. Except the shareholders of hydropower and hotels, all the shareholders lost today in the secondary market that saw 1,004 transactions worth Rs 27,540,241. A total of 75,430-unit shares changed hands today. Similarly, KIST Bank Ltd's board meeting decided to give five per cent cash dividend subject to approval from Nepal Rastra Bank and its AGM. Meanwhile, Uniliver Nepal has decided its book closure from September 24.
Source:
tht
Merger between Investment Bank & Everest Bank hotly debated
Before it has even materialised, the proposed merger between two leading commercial banks of Nepal seems to have hit the rough weather. A week after the news about the proposed merger between Nepal Investment Bank Limited (NIBL) and Everest Bank Limited (EBL) appeared in the local media, some board members at the NIBL has opposed the plan. A source close to the NIBL said that the merger issue was hotly debated in the NIBL Friday's board meeting. Prithivi Bahadur Pande, chairman of the NIBL, hinted that there were notes of dissent about the merger proposal at the board meeting. "It is natural to see opposition when we start to do a new thing," Pande told the Post. He didn't elaborate what the level of dissent was. .
For their part, some board members and the senior bank staff say they were kept in the dark by Chairman Pande about the proposed merger plan. "It would have been better had the board and senior management been informed about it," said a board member on condition of anonymity. Pande said that it was "an informal dialogue" between two chairmen and "nothing has been finalized yet." "It is not necessary to take approval for informal dialogue," said Pande, the NIBL chairman. "It is necessary to get the board's approval for the formal merger process." According to media reports, there was a meeting between the NIBL Chairman and B.K. Shrestha, chairman of the EBL, in New Delhi in the last week of August for the merger between the two banks. Pande admitted that there had been talks between him and Shrestha to "test waters." India's Punjab National Bank (PNB) that has a 20 percent stake in the EBL is said to be positive about the merger.
Pande termed the meeting between him and Shrestha in New Delhi as just a case of testing the waters. "Until there are formal talks, it should not be taken as a merger taking place between the two banks," said Pande. The NIBL board member say they are not against the merger per se. "Our concern is that the NIBL must have a majority stake in case of a merger," he said. "We can't allow the NIBL to merge with the EBL in a scenario where NIBL would lose its identity." While how much stake the NIBL and the EBL each will have after the merger has not been finalised, media reports say the PNB is keen to get majority stakes. Also, the PNB wants the majority management of the bank. And, this is the issue that has made the senior management of the NIBL jittery.
The senior staff at the NIBL is of the view that there should not be a change in the top management structure. "One major concern for them is that of job security," said the board member. The NIBL (earlier Nepal Indosuez Bank) was established in 1986 as a joint venture between Nepali and French partners. The French partner with 50 percent holding of the capital of NIBL was Credit Agricole Indosuez. But the French company, in 2002, sold its stake to a Nepali group of companies comprising bankers, professionals, industrialists and businessmen. Since then, Pande has been leading the NIBL and has, in the last eight years, made the NIBL as one of Nepal's leading banks. In the last fiscal year, its net profit was the highest amongst the private sector banks. As of now, its promoters have a 50 percent stake while Rastriya Banijya Bank and Rastriya Beema Sansthan, both government entities, each hold a 15 percent stake. The noise of the merger in fact began two years ago. The NIBL had then upgraded its banking software from Pumori to Finnacle which the EBL was already using.
Source:
ekantipur
Cash Dividend: ILFC
The BOD meeting of the company dated 2067/05/28 has decided to give 6.84% (5% dividend after tax net 6.5%) cash dividend subject to approval from NRB and its upcoming AGM.
Source:
nepalstock.com
Sunday, September 19, 2010
Nabil Bank's Cash Back
Nabil Bank Limited has launched a special promotional scheme named Cash Back to its Visa debit card customers during the Dashain and Tihar festival. Issuing a press statement, the bank said the scheme will be effective from September 17 to November 16. Under the scheme, all the Nabil bank Visa debit card customers will get one percent cash back on every purchase transaction they process through their Nabil Visa debit cards. The amount earned by each cardholder during the scheme period will be credited to customer´s bank account during the first week of November. In addition to the Cash Back scheme, the bank has also made discount arrangements with various merchants in the
Myrepublica
Announcements
Notice of NMB Bank and NMB Capital: NMB NMB Bank and NMB Capital Ltd has jointly issued notice as all the works carried out by NMB Bank regarding RTS service will now handled by NMB Capital Ltd. Upcoming 15th AGM: NMB NMB Bank Ltd has announced its upcoming 15th annual general meeting to be held on 10 October 2010 (2067 Ashwin 24). Error Corrected: NABIL Nabil bank has corrected the error on notice published regarding the 26th AGM. Ordinary Share Allotment: Kankai Bikas Bank Kankai Bikas Bank Ltd has allotted its ordinary share to 6725 applicants on 18 September 2010 (2067 Ashwin 2) which is based on following model. Share Slip Distribution & Money Return Notice: Garima Bikas Bank Garima Bikas Bank Ltd is distributing share slip and returning the money to the non-allotted applicants from 19 September, 2010 (2067 Ashwin 3). Upcoming 4th AGM: CDBL City Development Bank Ltd has announced its upcoming 4th annual general meeting to be held on 12 October 2010 (2067 Ashwin 26).
Saturday, September 18, 2010
Online IPO allotment results of Valley Finance Ltd, Garima Dev. Bank, Himalaya Finance Ltd, Kankai Bikash Bank
>> Purnima Development Bank Share Allotment Result
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>> Allotment of Kankai Bikash Bank Ltd.
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>> For Online results
Click the following link to view IPO results of VALLEY FINANCE LIMITED
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>> Download results in PDF Format
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Central bank to cut down circulation of new bank notes this Dashain
Nepal Rastra Bank (NRB) has said that it will sharply cut-down the issuance of fresh banknotes during the Dashain festival, as rate of notes damage remains very high during the festive season. Said an NRB official, the central bank was planning to fulfill the currency demand through a combination of new notes and notes in circulation in equal proportion. "However, we assure that the previously used notes to be issued will be very clean and as good as new notes," said NRB spokesperson Gopal Kafle, assuring that it will not dissatisfy the customers habituated to using new notes during the Dashain festival.
In the past, the central bank used to fulfill demand of different denominations, particularly smaller ones, by circulating freshly printed notes. But the bank decided to break the tradition practice as 80 percent of the new notes issued during Dashain are spoiled so badly that those notes cannot be reissued in the market. According to NRB, the normal life of Nepali paper money has a specific time span of 1.5 years. However, a large chuck of them becomes unusable within a year due to users´ mishandling. And notes freshly issued in Dashain cannot be reissued after three months.
"This is unwanted loss, which has unwanted cost attached," said an official at NRB Currency Management Division. Given that the cost is eventually met with taxpayers´ money, he argued it was meaningless having to shoulder the unnecessary cost when the clean notes can serve the purpose. Moreover, the central bank has assured that people who reeled under short supply of notes and were forced to curtail consumption during Dashain last year will witness affairs in the market completely different this festive season.
Officials at the central bank said it presently has Rs 97 billion worth of fresh notes in its inventory, whereas, it estimates the demand for fresh notes stands at around Rs 25 billion during the festive season. "Our inventory is strong and stands multifold of demand we expect to witness this season. People will not face notes crunch this year," said NRB Governor Dr Yuva Raj Khadiwada. Last year, the central bank had failed to pump out enough notes in the market during the festival, when consumption shot up dramatically, creating short supply of money in the system.
While that had created severe inconvenience, general customers were forced to cut-down consumption and their confidence in the banking system had eroded. According to an estimate, the consumption during Dashain this year will jump well over Rs 50 billion surpassing the earlier record. As the existing notes in circulation will fulfil the major chunk of people´s needs, NRB anticipates its preparedness to pump out Rs 25 billion will keep the business in normal state.
The central bank has said it has already issued enough cash to its seven offices located in Pokhara, Siddharthanagar, Janakpur, Biratnagar, Birgunj, Nepalgunj and Dhangadi to manage notes demand in different parts of the country.
Source:
myrepublica
10% Cash Dividend & 10% Bonus Share: NMB Bank
The BOD meeting of the company dated 2067/05/31 has decided to give 10% bonus share which was approved by NRB and 10% cash dividend.
Source:
nepalstock.com
10% Cash Dividend of Sanima
The BOD meeting of the company dated 2067/05/29 has decided to give 10% cash dividend from the profit of FY 2066/067 which is subject to approval from NRB and its upcoming AGM.
Source:
nepalstock.com
Cash Dividend Rs. 560 per share: Uniliver Nepal
The BOD meeting of the company dated 15/09/2010 has recommended distribution of Rs. 560 per share as final dividend out of the profit available for appropriation during the year.
BOD has also approved distribution of Rs. 500 as Interim Dividend per share out of the aforementioned final dividend of Rs. 560 per share for the year 2066/67 post certification of the audited annual accounts for the year by the statutory auditors.
Source:
nepalstock.com
Friday, September 17, 2010
Shikhar Bittiya Sanstha enters 7 & to issue 1:1 right shares
Shikhar Bittiya Sanstha celebrated its sixth anniversary. The C-class finance company has earned Rs 15 million net profit in 2009-10, which is Rs 5.2 million more than a fiscal ago. The company is going to issue 1:1 right shares.
Source:
tht
New branch of Sagarmatha Merchant Banking and Finance Ltd
Sagarmatha Merchant Banking and Finance Ltd (SMBFL) started the operation from its fifth branch at Jhapa's Damak, on Wednesday. Earlier the company has opened the branches at Birtamod, Dharan, Biratnager and Itahari. The company conducts different kinds of deposit and lending scheme.
Source:
tht
Ace Development Bank's Corporate Social Responsibility (CSR) initiative
Ace Development Bank has supported a project organised by Winrock International by providing 10 water pumps. Under Ace's Corporate Social Responsibility (CSR) initiative, it targets uplifting the livelihood of 300 farmers of Sonmati Majaura, Ayodhya Nagar and Chandra Lal Pur of Siraha. The project aims to provide alternate resource to petrol and diesel and teach modern farming methods to generate higher income for local farmers, said the bank. The process of alternative resource to petrol and diesel include collecting Jatropa seeds from waste land of Sonmati Majaura, Ayodhya Nagar and Chandra Lal Pur of Siraha, then recycling to produce fuel which will be an alternative to petrol and diesel.
Source:
tht
Announcements
Book Closure for Interim Cash Dividend: Unilever Nepal Ltd
Unilever Nepal Ltd has issued book closure notice for interim cash dividend from 23 September to 1 October 2010 (2067 Ashwin 7 to 15).
Upcoming 26th AGM: NABIL
Nabil Bank Ltd has announced its upcoming 26th annual general meeting to be held on 11 October 2010 (2067 Ashwin 25).
Up coming 1st AGM: Bright Dev Bank
Bright Development Bank Ltd has announced its upcoming 1st annual general meeting to be held on 9 October 2010 (2067 Ashwin 23).
RTS Appoionted: Siddhartha Development Bank Ltd
Siddhartha Development Bank Ltd has appointed Growmore Merchant Banker Ltd as Registrar to Share.
Book Closure For Right Share: Nirdhan Utthan Bank Ltd.
Nirdhan Utthan Bank Ltd. has announced its book closing date for 2:1 right share on 24 Sep 2010 (2067 Ashwin 8).
Announcements
Ordinary Share Allotment: Himalaya Finance Ltd has allotted its ordinary share to 25220 applicants on 15 September 2010 (2067 Bhadra 30) which is based on following model. 4th Quarter Financial Report & Company Analysis (2066/67): Everest Insurance Co. Ltd Everest Insurance Co. Ltd has published financial reports and company analysis during the fourth quarter of fiscal year 2066/67. Press Release: NIDC Capital Markets (NCM) NIDC Capital Markets has issued press release regarding the ordinary share allotment of Valley Finance Ltd on 15 Sep, 2010 (2067 Bhadra 30). Ordinary Share Allotment: Valley Finance Valley Finance Ltd has allotted its ordinary share to 51407 applicants on 15 September 2010 (2067 Bhadra 30) which is based on following model. More Details Treasury Bill Issue: Nepal Rastra Bank (NRB) Nepal Rastra Bank is issuing 28 days Treasury bill, 91 days Treasury bill, 182 days T-bill and 364 day T-bill on 21 September 2010. The bid quotation are to be submitted by 20 September, 2010 (2067 Ashwin 5).
Wednesday, September 15, 2010
Right Share on Auction: Sunrise Bank Ltd (SRBL)
Sunrise Bank Ltd is selling right share in auction. These are the unsubscribed share after right issue.
Monday, September 13, 2010
Nepal Bangladesh Bank's first-aid camp
Nepal Bangladesh Bank (NBB) in collaboration with Alka Hospital organised a first-aid camp in the premises of Pashupatinath temple on the occasion of Teej. The camp provided free first-aid service to more than 1,000 people, said a release from the bank
Source:
tht
Makers and movers; despite all
Amid the worsening business environment, energy crisis and political uncertainties, the country's manufacturing sector recorded a modest growth the last fiscal year. The Manufacturing Production Index (MPI), released by Central Bureau of Statistics (CBS) shows construction-related products and dairy products are the ones that registered an impressive growth in 2009-10.
The MPI shows interesting results. As per the MPI, manufacturing of only five products had declined the last fiscal year, with other products maintaining growth. But barring a few products, the growth of others has been modest. As was the case in the third quarter, production of iron rods and galvanized pipes that has the largest weight in the MPI had strong growth of 7.20 percent. Though the demand for iron rods and pipes has declined of late, the growth is due to strong demand in the earlier quarters. Cement and concrete are other two construction materials that saw impressive growth during the period. Production of cement increased by 5.26 percent, while production of concrete went up by 4.25 percent.
Cement industry has been one sector where more investment is coming since the past few years. The rise in cement production over the past few years is now substituting the import of Indian cement. The Nepal Rastra Bank's annual macroeconomic statistics shows import of cement from India declined last year by 3.2 percent. According to Bal Krishna Shrestha, president of Nepal Steel Rolling Mills Association said that the increased demand for iron rods pushed up the overall production. "Had there been political stability and sufficient energy supply, production could have been increased," said Shrestha.
Over the last few years, more steel mills were established in the country. Till now, there are 18 steel mills in the country. The growth in the iron production can be ascertained by the fact that the import of M.S. Billet, a major raw material, increased by 42.72 percent in the last fiscal year. Nepal imported M.S. Billet worth Rs 14.32 billion, an increment of 42.72 percent. Pradeep Kumar Shrestha, managing director of Panchakanya Group says the growth in the production is due to more players coming into the business. Manufacturers say there has been a decline in the demand which may hit production this year.
"Till the third quarter, there was also good demand but it has subsided in the last quarter due to decline in the construction sector," said Shrestha. Dairy products were another major gainer last year. Milk production in the country increased by almost 8 percent last year. The country's dairy sector has made impressive progress last year with Chitwan Co E establishing a powder milk factory in Chitwan and Sujar Dairy of Pokhara exporting powder milk to Pakistan. Liquor industries in the country are having a better run. Among beverage products, the production of rectified alcohol was the star, with its production increasing by almost 10 percent. But, manufacturing of beer, recorded a slower growth¿only 3.19 percent. The growth in production of soft drinks remained below two percent.
Agricultural products like rice, wheat flour and animal feed recorded an increment of 2.33 percent last year. Though production of wheat flour and animal feed rose by 4.47 percent and 9.17 percent, respectively, it was the dismal growth of rice that pulled down the overall index. The production of rice, that commands 7.8 percent weight in MPI, grew by only 1.81 percent. In this group, noodles and chocolate production has increased by 4.12 percent and 3.49 percent. The MPI paints a bleak picture of Nepal's major exportable products. While woollen carpets and tanned hides recorded a nominal growth, the manufacture of readymade garments declined. As per the index, the production of readymade garments witnessed a 1.87 percent decline during the period. With export to third countries and India going down by 80.5 percent and 20.7 percent, respectively last year, decline in garment production was understandable. Production of woollen carpets saw a marginal growth of 0.26 percent while production of tanned hides also registered a growth of 4.42 percent. Among all industrial products, plastic products with a weight of 5.74 percent in the MPI had growth of almost 4.53 percent.
Source:
ekantipur
Nepal Bank Ltd's new branch
Nepal Bank Ltd (NBL) has restarted Chandrauta branch in Kapilvastu district on Sunday. The branch was closed during political conflicts in the country. Bank's management committee coordinator Dr Puspa Raj Rajkarnikar inaugurated the branch at a function on Sunday. With this the number of NBL branches has reached 109. The bank is planning to reinstate 11 more branches as per financial feasibility in the current year.
Source:
tht
Newspaper Announcements
4th Quarter Financial Report & Company Analysis (2066/67): UIC
United Insurance Co. Ltd has published financial reports and company analysis during the fourth quarter of fiscal year 2066/67.
Right Share Certificate Distribution and Money Return Notice: PSDBL
Pashupati Development Bank Ltd. is distributing right share certificate from 14 September 2010 (2067 Bhadara 29) and returning money for those who have applied higher .
Sunday, September 12, 2010
Newspaper Announcements
4th Quarter Financial Report & Company Analysis (2066/67): SICL
Shikhar Insurance Ltd has published financial reports and company analysis during the fourth quarter of fiscal year 2066/67.
Right Share Issue Closing: MFCL
Saturday, September 11, 2010
Prime Life Insurance's mela
Prime Life Insurance is organising a `Ramailo Mela' at Pokhara's Naya Bazaar from September 9 to 12. The festival will be inaugurated by actor Rajesh Hamal. Entertainment and musical events will have also been scheduled.
Source:
tht
Sagarmatha Merchant Banking branch
Sagarmatha Merchant Banking and Finance Ltd has opened its second branch at Sunsari district's Dharan on Wednesday. The finance company provides ABBS service, AMS banking, ATM and remittance services. The finance company has plans of opening more branches at Biratnagar, Damak and Itahari.
Source:
tht
Kist starts talks programme
"Success cannot be attained in one go, everyone needs to work hard with an optimistic attitude and have a strong determination to acquire the goals they set for themselves," said Ambica Shrestha, president of Dwarika's Hotels and Resorts during a talk programme organised by Kist Bank here today. The first Kist talk programme also honoured Shrestha for her contribution to economic development as well as conservation of Nepali and Newari heritage.
Starting from today, Kist Bank will be having these talk programs once every month for this fiscal year for young entrepreneurs. Kist talk is an initiative taken by Kist Bank as an attempt to bring excellence in the skills and dexterity of young and amateur entrepreneurs. "We will be organising such programmes every month and are looking for it to be a stepping stone towards further innovative ideas towards enriching the new generation of entrepreneurs," said Kamal Prasad Gyawali, managing director of KIST Bank.
KIST talk aims to be an opportunity to bring theoretical knowledge into the practical exercise by which significant personalities would be addressing audiences with their knowledge and sharing experiences that they have encountered on their path towards business success.
Source:
tht
Seventh anniversary: Annapurna Bikas Bank
Annapurna Bikas Bank Ltd has entered into its seventh year of its operation. The bank is planning to open 10 more development banks in the current fiscal year. The bank provides the services such as ABBS, evening counter, 365 days banking, free good for payment, cheque clearance and so on. The bank has been able to collect deposit worth Rs 849.9 million and floated loans worth Rs 1.16 billion, while the bank has earned Rs 74 million as operation profit.
Source:
tht
New brokers' test results on Wednesday
Nepse will publish the final list of the eligible contenders of the new share brokers' license test on Wednesday. The last date of re-applying was on August 31, the next ten days Nepse had set aside to reevaluate the applications and whether they still meet the criterion. After the end of the deadline for application, only 162 of the original 316 applicants had reapplied for the exam. "So far, there is no sign of any possible hassles regarding the matter, so hopefully, the exam will take place as per schedule," said Nepse General Manager Shanker Man Singh.
"We are tabulating the information regarding the applicants examining whether they are still eligible or not," he added. After two and half year long hiatus, this time Nepse is moving cautiously with the whole process. Thus, the test for remaining 25 marks will also be automatic with instant result, in order to avoid any pressure or manipulations. Nepse had published the notice regarding resumption of the share broker's selection process on August 10 after two and a half years. The notice also asked the applicants to restate their eligibility in writing. When the process was halted in February 2008, Nepse had already selected 316 applicants from the total of 336 applicants that had to go through test of 25 marks. But Commission for Investigation of Abuse of Authority (CIAA) halted the process questioning the transparency in the appointment process just the day before the test was going to take place.
Source:
tht
Green Invest launches investment service
Investment banking and business advisory service is set to make massive headway in Nepal. Green Invest Limited (GIL), a newly-formed financial services firm, on Sunday announced the launch of its investment banking and business advisory service. Promoted by leading business houses, GIL has an authorized capital of Rs. 350 million. Among GIL's 32 shareholders are Nimbus Group, Golchha Group, Wlink, ICTC, Smart Choice Technologies and others. GIL has a seven-member board with Jagadish Prasad Agrawal as chairman. The other members of the board are Dileep Agrawal, Hemant Golchha, Ravi Chandra Singh, Suresh Lal Shrestha, Kailash Chandra Goyal and Gun Chandra Bista.
According to its promoters, GIL has been formed with the objective of providing a range of financial services in the market. Initially, it will start services in project financing, merger and acquisition, corporate restructuring, business advisory services and facilitating strategic tie-ups. GIL will also seek to facilitate investment in Nepal by Indian and other international investors. "Despite having a comparatively better FDI regulation, Nepal hasn't been able to sell it," said GIL chairman Agrawal. "The company will work for investment promotion."
With this in mind, it is planning to come up with an equity fund of Rs. 5 billion through foreign direct investment. Setting up mutual fund, getting into housing and consumer finance and pension fund are among GIL's future plans. GIL has technical collaboration with Ernst & Young for this venture. "We bring the advantage of our established global experience and understanding of business trends," said Sunil Chandiramani of Ernst & Young India. GIL will venture into other financial services over a period of 12-24 months, said its promoters. "There will be a few investment opportunities in the offing," said one promoter. Agrawal said that GIL has plans to go public. Once it goes public, its authorized capital will be increased to Rs. 500 million, according to one promoter.
Source:
ekantipur
SBI Bank suspends accounts of 400
Nepal SBI Bank, Biratnagar has suspended the accounts of more than 400 customers found to be involved in withdrawing Indian currency (IC) in India with Nepali ATM cards. They were found making the withdrawals in the Indian towns of Farbisgunj and Jogbani on the same day they deposited Nepali rupees in banks in Nepal. "We have suspended the accounts of those found misusing the ATMs and forwarded a list of the accounts facing suspension to Nepal Rastra Bank," said Ameet Koirala, manager of SBI Bank, Biratnagar. The trend of using Nepali ATM cards for withdrawing Indian currency from Indian banks is increasing amid the deepening shortage of Indian currency in the Nepali market.
However, SBI Bank has not disclosed the names of the customers involved. An official at Nepal Rastra Bank (NRB) Biratnagar Office said most of account holders involved in misusing the ATMs are money changers. "We have also instructed other banks to suspend the accounts of such customers," the official added. The central bank has demanded details of customers who withdraw at least 25,000 rupees in Indian currency at a time and 200,000 per month. NRB had given permission to 19 local money changers to exchange a maximum of 2,000 rupees Indian per person. In addition, NRB has been making available 5,000 to 30,000 Indian rupees for those going to India for medical treatment. Nepali customers are estimated to have been withdrawing at least 10 million Indian rupees per day from Farbisgunj, using the Nepali Visa Debit Card.
Source:
myrepublica
IME opens 20th branch
IME Financial Institution inaugurated its 20th branch at Chapagaun in Lalitpur on Tuesday. Chairperson of the institution, Hemraj Dhakal, and Lalitpur CDO Ratna Rajya Pandey jointly inaugurated the branch on the occasion of its sixth anniversary. Issuing a press statement, the institution said it was providing banking services 365 days a year and also providing free debit card to its customers. The institution had earned Rs 914 million as net profit in fiscal year 2009/10.
Source:
myrepublica
Announcements Published In Newspapers
Special GM: WMBF
World Merchant Bank & Finance Ltd has announced its special General Meeting to be held on 25 Sep 2010 (2067 Ashwin 9).
Right Share Allotment: SRBL
Sunrise Bank Ltd. has allotted its right shares.
Dividend Distribution: SHL
Soaltee Hotel Ltd has issued notice for the collection of uncollected dividend
Right Share on Auction: SBBLJ
Sahayogi Bikas Bank Ltd is selling right share in auction. These are the unsubscribed share after right issue.
Royal Merchant Bank and Finance Ltd. has announced its book closing date for 1:1 right share on 19 Sep 2010 (2067 Ashwin 3).
Nepal Stock Exchange has issued notice regarding the license of Brokers. More Details
Karnali Development Bank Ltd is distributing share slip and returning the money to the non-allotted applicants from 10 September, 2010 (2067 Bhadra 25). More Details
Business Development Bank Ltd has announced its upcoming 7th annual general meeting to be held on 1 October 2010 (2067 Ashwin 15) and also published the meeting minute of meeting number 132.
Nepal Rastra Bank is issuing 28 days Treasury bill, 91 days Treasury bill, 182 days T-bill and 364 day T-bill on 14 September 2010. The bid quotation are to be submitted by 13 September, 2010 (2067 Bhadra 29).
Sahayogi Bikas Bank Ltd. is distributing right share certificate from 8 September 2010 (2067 Bhadra 23).
Wednesday, June 9, 2010
Mahalaxmi Finance Ltd in Sukedhara
| Mahalaxmi Finance Ltd (MFL) has started its sixth branch at Kathmandu's Sukedhara. The company ¿ established in Birgunj fifteen years ago ¿ has been able to collect deposits worth Rs 1.58 billion and floated the loans worth Rs 1.45 billion within the first ten months of the current fiscal year. It has been able to reduce its non-performing loans to 1.03 per cent within the third quarter of the fiscal year. The company provides any branch banking facility and will start SMS banking, ATM and other modern banking services. |
| Source: tht |
Clean Energy Development Bank introduces Gifting Pure Brightness Programme
| Clean Energy Development Bank (CEDB) introduced a Gifting Pure Brightness Programme to empower the deprived segments of society with clean and renewable energy for their essential lighting needs ¿ to mark the World Environment Day ¿ as a part of its soon to be launched larger Corporate Social Responsibility movement for eco- friendly Nepal. The programme was initiated in Kathmandu by contributing solar PV home lighting systems to an old age home named Ama ko Ghar as well an orphanage ¿ Jan Uddar Sewa Samiti. The bank is the first national level development bank to have a focused developmental agenda towards harnessing the nation's abundant natural resources, in addition to uplifting the standards of living of the people of Nepal. |
| Source: tht |
Nepal Investment Bank Ltd inaugurates 40th branch
| Nepal Investment Bank Ltd (NIBL) opened its 40th branch in Lagankhel on Monday. Lagankhel branch is connected to all other 39 branches around the country with Any Branch Banking Service. The branch office provides deposit and credit facility, foreign exchange, retail banking, import, export, letters of credit, guarantees and remittances, locker facility, 365 days service, ATM facility, multiple teller counters, among other updated banking services, said the bank. It plans to extend its access in more places in future. |
| Source: tht |
Monday, June 7, 2010
OTC market yet to open account
| In the Nepal Stock Exchange (Nepse), thousands of shares are traded daily, but the Over-The-Counter (OTC) market has yet not seen any trading till date. Similar is the fate of government and corporate bonds. OTC being an unorganised secondary market, it does not require the involvement of brokers. Thus in Nepal, Nepse facilitates the transfer of the rights of such OTC shares. The shares of companies that have been de-listed by Nepse, the share of small companies which are unable to meet Nepse's and its regulator SEBON's requirements, and the shares of banks and financial institutions (BFIs) which have issued their initial public offering (IPO) but not yet listed at the Nepse, can be traded over the counter. The shares of the companies, which were de-listed from secondary market, Nepse and are not fulfilling the criteria of Nepse, SEBON, Nepal Rastra Bank NRB and Insurance Board (IB) can be traded as OTC shares. Nepse so far has de-listed 43 companies; and most of the de-listed companies are virtually non-existent. As a result, their shares are also not in circulation. However, the general public is reluctant in buying the shares of the de-listed companies that are still operating, considering them highly risky. Besides, thousands of share-holders that have shares of the de-listed companies like Nepal Bank Ltd (NBL), which was de-listed from Nepse due to its poor financial condition, are not even aware that they can trade their shares. The share holders of the banks that have already distributed the shares through IPOs but not yet listed on the Nepse are simply not interested in over-the-counter transaction and prefer to hold the shares until they are listed on the stock exchange in the hope of getting a better return. "In some cases, companies themselves are not interested in selling their stocks, in retail, over-the-counter," Shambhu Pant, Nepse's spokesperson said. Similarly, in the last eight years, only a nominal number of corporate bonds and government bonds have been traded in the secondary market. "Public are not interested in buying the bonds from the secondary market, they will rather buy directly from the primary market or wait for a new bond to hit the market," spokesperson of Nepse said. "Likewise, government bonds are mostly bought by BFIs to fulfill their Statutory Liquidity Requirements (SLR) as directed by the central bank. Thus they hold the bonds and the general public also hold them as a safe investment tool," he said. |
| Source: tht |
TCS may design Central Depository System (CDS) for Nepse
| Nepse is more than likely to hand out the contract to design the software for much anticipated Central Depository System (CDS) to Tata Consultancy Services (TSC). "After the preparation of software, there will not be any further delay about starting CDS," informed Shambhu Pant, Nepse's acting deputy manager and spokesperson. "Nepal's CDS will be based largely on Indian Central Depository Services Ltd (CDSL), a sister concern of the Bombay stock Exchange (BSE) as we are undertaking this project under the financial and technical support of BSE," he added. The CDS is a new clearing and settlement system being used in stock exchanges abroad. Under the CDS, the current practice of holding and moving the scrip of quoted shares physically will be replaced by a safe and dependable computerized book entry system. When investors trade under the CDS, there will be no need for delivery and receipt of physical certificates. All the physical scrips of the companies listed on the stock exchange will be recorded centrally, and investors will have CDS accounts which will show their holdings. The seller's account will be debited and the buyer's account will be credited when shares are traded by the new system automatically as is practised by major stock exchanges the world over. "The implementation of CDS will do a great deal in encouraging the investors as there will be hassle-free and swift ownership transfer and instant liquidity," said Surbir Paudyal, Chairman of Securities Board of Nepal. The increase in volume and number of share transactions after the automation of Nepse had created demand for the establishment of CDS that offers safety and convenience compared to holding securities in physical form, enhances liquidity by instantaneous transfers and delays, thefts, interceptions and subsequent misuse of certificates eliminated. The implementation of CDS is supposed to be able to wipe out inconsistency and manipulation in stock trading and make the Nepali secondary market more transparent and a significant reduction in discrepancy rates is expected by Nepse. Meanwhile, the Nepse has started the process to take the exam for new brokers. The process to add new brokers has halted since long. |
| Source: tht |
Purbanchal Grameen Bikash Bank to give dividend
| Seventeenth AGM of Purbanchal Grameen Bikash Bank (PGBB) approved 20 per cent cash dividend to its shareholders. According to a press release, the bank is currently operating in six districts ¿ Jhapa, Morang, Sunsari, Udaypur, Saptari and Siraha. During the financial year 2009-10, the bank has posted a net profit of Rs 19.013 million, said the release. |
| Source: tht |
Book Closure for Right Share of Sahayogi Bikas Bank Limited
| The 108th BOD meeting of the company has decided to announce book closure on 2067/02/25 for right share which was approved by its 6th AGM. |
| Source: Jamb News |
NIC banks lending to industries more
Some eight commercial banks have applied for the refinancing facility from the central bank. Out of the eight commercial banks ¿ Citizens Bank International, DCBL, Kumari Bank, NIC Bank, Global Bank, Prime Commercial Bank, NCC Bank, Kist Bank, Laxmi Bank ¿ Citizens Bank International has already received Rs 430 million. Similarly, the NIC Bank ¿ that has consistently focused on channeling its credit to productive sectors contributing to the country's economic growth ¿ has also applied for Rs 440 million refinancing facility. As of mid-April, it has floated 90 per cent of it's total loan portfolio of about Rs 14 billion in over 2,000 diversified industries and businesses, said the bank. NIC has floated loans in a wide range of industries including food processing, steel, cloth, yarn, cement, paints, jute, carpets, paper, handicrafts, hotels, hospitals, education, agriculture, leather, plastics, cables, bricks, and IT. "It has only around 10 per cent exposure in real estate portfolio," it claimed. The bank ¿ that has a large network of 25 branches spread from Jhapa in the east to Mahendra Nagar in the far west ¿ has announced a 27 per cent growth in net profit to Rs 319 million in the first nine months of the current fiscal year compared with the same period last year. The mid-term evaluation of the Monetary Policy has introduced refinancing facility to pump in liquidity in the banking system for productive sectors like tourism, hydropower, exports, agriculture, small and medium scale industry and other productive sectors. |
| Source: tht |
DCBL Bank branches in Sanepa & Teku
| DCBL Bank has brought its eleventh and twelfth branches into operation from Sunday. The branches situated in Sanepa and Teku will conduct all the banking operation as permitted by Nepal Rastra Bank, the bank said in a press statement. After the inauguration of Sanepa branches, the bank in collaboration with Rotary Club of Bagamati handed over a check for Rs 100,000 for ´Quit Smoking Program´ as per the bank´s Corporate Social Responsibility initiative. With the inauguration of Teku branch, the bank organized a blood donation program which was attended by more than 35 employees and volunteers from Rotary Club of Bagmati. The bank is also planning to install eight ATM terminals across the country. The bank mobilized deposits worth Rs 7.6 billion and has invested Rs 7.43 billion by the end of third quarter of the current fiscal year. It earned profits of Rs 116.8 million during the period, which was 57 percent more than what the bank earned in the same period last year. |
| Source: myrepublica |
Machhapuchhre Bank opens four branches
| Machhapuchhre Bank Limited opened four new branches at Phidim, Birtamod, Nepalgunj and Dhangadhi on Sunday. The new branches are offering all modern banking services like ATM service, evening counters and 365 days banking, the bank said in a statement. It also provides its customers with ABBS (any branch banking service), telephone bill paying service, mobile phone bill paying service, internet banking facilities and SMS banking facilities. The bank, which started operations from Pokhara in 2000, currently operates with a network of 38 branches and 45 ATM terminals across the country. It is also planning to open new branches at Kanchanpur, Tulsipur, Surkhet, Taplejung, Lagankhel and Asan in Kathmandu. |
| Source: myrepublica |
Fewa Finance expands to Bagar
Fewa Finance Limited opened a new branch at Bagar in Kaski on Sunday. Sushil Gauchan, chairman of the company, inaugurated the new branch, Fewa Finance said in a statement. With the branch at Bagar, Fewa Finance now has a network of seven branches in Pokhara, Kathmandu and Jomsom. The company claims to have given away 84 percent cash dividend to its shareholders. The company aims to provide its customers with ATM facilities and convert itself into a development bank in the near future, according to the statement. |
| Source: myrepublica |
Friday, April 30, 2010
NB Bank opens 18th branch
The bank has also revised its special fixed deposit schemes, under which the customers can now open accounts at Rs 111,000. Previously, the customers could open accounts under this scheme at Rs 555,000. The bank has is also planning to install seven new ATMs within this fiscal. It also formally launched internet banking services from Thursday. The bank also said that it would start issuing loans against gold and gold jewelries by the end of this fiscal.
Source:
myrepublica.com
Sunrise Bank at Harisiddhi
Source:
ekantipur.com
Depositors lose confidence
Despite various measures commercial banks could not increase the deposits, the deposit mobilisation has increased by only 4.2 per cent amounting to Rs 22.9 billion till the first eight months of the current fiscal year. According to the Nepal Rastra Bank (NRB)'s macroeconomic report of first eight months of current fiscal year, the total deposit amount with the commercial banks increased by only 4.2 per cent to Rs 572.7 billion whereas in the same period of last year the total deposit had increased by 14.3 per cent. Currently, the banks and financial institutions (BFIs) are distressed due to dwindling deposits so that they have been raising the interest rates to attract new deposits. The money coming in the bank is waning mainly due to loss of confidence in the banking system and due to shrinking remittance inflows. The shortage of cash last October has also played a major role. Likewise, due to Anti-money Laundering Act people are apprehensive to go to banks to deposit the money, though the Act has been brought according to the international rule. Under the act, a depositor who deposits more than Rs 1 million needs to disclose the source of income while depositing at the BFIs. To avoid disclosing the source, the depositors are shying away from banks to deposit the large amounts. Lack of awareness among the depositors has caused a huge loss of deposits. The private sector credit of commercial banks has increased by 16.5 per cent. Among the total private sector credit, the credit to production sector increased by 9.5 per cent in the first eight months of the current fiscal year in comparison with the growth of 12 per cent in the samer period last year. Under the production sector credit, the credit to sugar, cement, iron and steel industries observed a greater credit expansion. Similarly, credit to agriculture sector has also increased by Rs 2 billion. "Credit to wholesale and retail businesses has also expanded by 23.2 per cent and the credit to finance, insurance and fixed assets also increased by 41.6 per cent while the credit to service sector increased by 20.2 per cent," said the report. The credit to real estate sector was extended to Rs 14.9 billion as compared to Rs 7.7 billion in last year's corresponding period. The liquid assets of the commercial banks stand at Rs 167.9 billion by mid-March. Among the liquid assets, liquid fund has declined by 9.7 per cent. This decline in liquid fund of commercial banks is attributed to the decline in commercial bank's balance with the NRB as well as balance held abroad. The balance held abroad by commercial banks has gone down by Rs 4.3 billion amounting to Rs 49.2 billion whereas the balance with NRB has declined by Rs 10.1 billion. Similarly, commercial bank's investments in government securities have also declined by 12.3 per cent. The liabilities, assets structure of commercial banks has also changed due to higher growth of commercial banks' loans and advances relative to their deposit mobilisation. The serious concern is credit to deposit (CD) ratio. The CD ratio increased to 90.2 per cent in mid-March from 81.2 per cent in mid-July 2009. "The liquidity-deposit ratio also declined to 29.3 per cent in mid-March 2010 from 34.2 per cent in mid-July 2009," said the report.Source:
THT
Sunday, April 18, 2010
Siddhartha Bank open five branch office
Source:
THT
Fire breaks out at Nepal Bank Limited
Nepal Bank Limited (NBL), the oldest state-owned bank caught fire on Saturday morning. The fire started at 5:00 am and was brought under control only at 8: 45 am. Binod Atreya, chief executive officer of the bank said that the fire destroyed two storerooms that had old documents. "Documents that were destroyed were kept for disposal," he said. According to him, there were no important documents related to customers or the bank that were destroy by fire. The actual loss has not been ascertained yet. The bank said that there was a minor loss of the old papers kept for sell through auction and two storerooms. "As the fire started in the old storehouse at the back of the bank, the immediate response from the Nepal Army, Armed Police, Nepal Police and fire brigade was to take control of the fire to prevent its spread in the main building," Atreya said. The blaze was controlled by four fire engines. He further said the reason for the fire was unknown, but old electric appliances and other equipments kept in the storehouse might be the reason. Some 150 personnel of Nepal Army, 250 from Armed Police and 50 from Nepal Police were deployed to control the fire. NBL is the oldest commercial bank of Nepal established in 1937, which marked the beginning of an era of formal banking in Nepal. The Bank is also one of the largest in Nepal with 107 branches in 55 districts of the country. It was formed under the principle of joint venture between the government and public. NBL's authorized capital was Rs 10 million and issued capital Rs 2.5 million of which paid-up capital was Rs 842,000 with 10 shareholders. As of mid-Jan 2010, the bank has paid up capital of Rs 380 million. The capital fund against risk weighted assets in the same period was negative by 21.27 percent and the non-performing loans at 3.77 percent.Source:
ekantipur.com
