National level banks like Mahalaxmi, Jyoti, Muktinath, Garima, Kailash and Om has already met the minimum paid-up capital.
Meanwhile, Dev, Shangrila, Tourism, Gandaki, Lumbini and Kamana Sewa are yet to meet the capital. However, Tourism Development Bank is set to merge with Mega Bank in near future.
Based on capital, Mahalaxmi Bikas Bank has the highest paid-up capital of Rs 2.63 billion and Kamana Sewa has the lowest paid-up capital of Rs 2.06 billion.
These 12 development banks have a total paid-up capital Rs 28.94 billion and reserve fund of Rs 9.89 billion. By the third quarter of the current FY, these banks have collected deposit of Rs 219.54 billion and extended loans of Rs 198.03 billion.
The increased capital of these development banks has also reflected in their financial standing. As the majority of development banks opt for a merger, the benefits of the merger have reflected in their expansion and volume of business. The number of development banks which was 24 two years back has limited to 12 in the current FY.
In the review period, these banks earned a net profit of Rs 3.34 billion. Out of the 12 national level development banks, Muktinath Bikas Bank has earned the highest net profit of Rs 427.6 million followed by Kailash, Gandaki, Mahalaxmi and Garima. The profit earned by Muktinath Bikas Bank is higher than the profit earned by Civil Bank, a commercial bank operating across the country. Meanwhile, Lumbini Bikas Bank has earned the lowest net profit of Rs 184.4 million.
In terms of EPS, Muktinath Bikas Bank has the highest EPS of Rs 21.93 while Deva Bikas Bank has the lowest EPS of Rs 11.39. Muktinath has the lowest bad debt while Mahalaxmi Bikas Bank has the highest bad debt.
