List of Commercial Banks in Nepal [May 2023]

There are 21 Commercial Banks in Nepal as of 16th May 2023. After 10 different banks either merged or were acquired.

Nepal Rastra Bank has categorized the Nepali Banking and Financing System (NBFS) or Bank and Financial Institutions (BFIs) into four sectors.

Commercial banks are larger institutions that provide many financial products and services. These include checking accounts, credit cards, mortgages, student loans, and small business loans.

1. Commercial Banks (Class “A”)
2. Development Banks (Class “B”)
3. Finance Company and (Class “C”)
4. Micro Finance (Class “D”)

List of Commercial Banks in Nepal 2023

As of May 2023, there are currently 21 commercial banks resulting from recent mergers and acquisitions that have consolidated the banking industry.

These banks are working nationally, and the first commercial bank that has operated since 1937 A.D. is Nepal Bank Limited.

Below is the list of commercial banks in Nepal 2023, their operation dates, and their head office address.

Note: (*) Joint venture date after merge | paid-up capital (Rs. in Crore)

Merger and Acquisition of Nepali Banks in 2023

An agreement has been signed between Lakxmi Bank and Sunrise Bank for a merger. Also, Nabil and Nepal Bangladesh Bank will merge.

Top 3 Commercial Banks of Nepal

Banks play an important role in the stability of a country’s economy. Here are the top three banks of Nepal in terms of Paid-up capital and deposits as of January 2022.

1. NIC Asia Bank

NIC ASIA Bank was established on 21st July 1998. The Bank was given a new name NIC ASIA Bank, after the merger of NIC Bank with Bank of Asia Nepal on 30th June 2013. NIC ASIA Bank has a paid-up capital of Rs. 11.56 billion. Currently, 299.34 Arba deposits have been noted. EPS is around rs 41.54

CEO: Mr. Roshan Kumar Neupane

2. Global IME Bank

After the successful merger of Global Bank Ltd (an “A” class commercial bank), IME Financial Institution (a “C” class finance company), and Lord Buddha Finance Ltd. (a “C” class finance company) in 2012, the bank has a paid-up capital of Rs. 21.63 billion. Has deposits of Rs 280.81 Arba, and EPS is around rs 22.39.

CEO: Mr. Ratna Raj Bajracharya

3. Rastriya Banijya Bank Ltd.

Rastriya Banijya Bank was established on January 23, 1966. A.D. is a state-owned enterprise established “To provide innovative banking services to everyone, every time and everywhere for the economic development of the nation”. Rs 244.21 Arba deposits have been noted. Also, EPS is around rs 27.54.

CEO: Mr. Kiran Kumar Shrestha

Functions of Commercial Banks

The function of commercial banks can be classified into different parts Primary, secondary, and Utility functions. Here we will talk about only a bank’s primary function.

1. Accepting Deposit

Banks operate on customer deposits, so their primary objective is to gain more customers and convince us to deposit as much as possible. In return, they give interest to the customer.

2. Providing Loan

After taking money from their depositor, ‘s bank’s main focus is to give out loans at a higher interest rate, and the bank’s high income is from providing loans to the customers.

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