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Banks are being squeezed by non-banking assets: Increased by 80 percent in 8 months, how much of which?

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NCELL
NIMB

Kathmandu. The non-banking assets of commercial banks have increased in the 8 months of the current fiscal year. The non-banking assets of commercial banks have increased by about 80 percent in mid-February. The non-banking assets of banks are increasing after the banks failed to sell the collateral of loans that they could not raise.

According to the data released by Nepal Rastra Bank, the non-banking assets of commercial banks have reached 36.20 billion 8.7 million rupees in the 8 months, which is 79.97 percent more than the same period of the previous year. The non-banking assets of commercial banks in the 8 months of the last fiscal year were 20.11 billion 9.1 million rupees.

The bank with the highest non-banking assets in the eight months is Global IME Bank. The bank’s non-banking assets have reached Rs 5.88 billion 35 million, which is 145 percent more than the same period last year. The bank’s such assets in the previous year were Rs 2.39 billion 52 million.

Similarly, Himalayan Bank is in second place in terms of non-banking assets. The bank has non-banking assets of Rs 4.53 billion 4.8 million.

Similarly, NIC Asia Bank has non-banking assets of Rs 4.38 billion 30 million, Nabil Bank has Rs 3.75 billion 70 million, Nepal Investment Mega Bank has Rs 3.10 billion, Kumari Bank has Rs 2.58 billion 31 million and Prime Commercial Bank has Rs 2.27 billion 76 million.

As of mid-February of the current fiscal year, Lakshmi Sunrise Bank has Rs 1.62 billion 92 million, Prabhu Bank has Rs 1.26 billion, NMB Bank has Rs 1.14 billion 65 million, Citizens Bank has Rs 1.55 billion 45 million, and Krishi Bikas Bank has Rs 1.18 billion. Non-banking assets have piled up.

Similarly, the non-banking assets of Nepal Bank are Rs 204.1 million, of Rastriya Banijya Bank Rs 297.6 million, of Nepal SBI Bank Rs 353.9 million, of Everest Bank Rs 582.1 million, of Machhapuchhre Bank Rs 980 million, of Siddhartha Bank Rs 682.2 million and of Sanima Bank Rs 268.6 million, according to the data.

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