Know how much additional capital 4-10 district level Development Banks needs to raise

Thu, Aug 6, 2015 12:00 AM on Others,

ShareSansar, August 6:

At present, there are total of 13 Development Banks with a working area of 4-10 districts. As per the Monetary Policy 2072/73 unveiled by NRB, 4-10 district level Development Banks need to hike their capital to Rs 1.20 arba by the end of FY 2074. Earlier the minimum paid up requirement for 4-10 district level Development Bank was Rs 30 crore.

As per the third quarter report of Fiscal Year 2072/73, only two development banks with a working area of 4-10 districts has paid up capital more than 50 crore.

Shine Resunga Development Bank has the highest paid up capital and Reserve out of all 4-10 district level development banks. It has a paid up capital of Rs 63.33 crore and a Reserve of Rs 25.34 crore. It needs to increase its capital by further Rs 56.66 crore by the end of Ashad, 2074 to meet the requirement of paid up capital of Rs 1.20 arba, set by the monetary policy of 2015/16. 

Bhrikutee Development Bank has a paid up capital of Rs 52.12 crore and a Reserve of Rs 19.88 crore. The Bank has already entered the merger process with NMB Bank Limited.

Ekata Bikas Bank has the lowest paid up capital out of all 13 Development Banks. It’s paid up capital stands at Rs 20 crore and Reserve at Rs 4.12 crore.

4-10 district level Development Bank 

 Paid up

 Rs in ('000)

 Reserve

  Rs in ('000)

Additional    capital required 

Rs in ('000)

Shine Resunga Development Bank Limited        633,330.10    253,483.88        566,669.90
Bhrikutee Development Bank Limited        521,248.50    198,804.74        678,751.50
City Development Bank Limited        468,160.00    164,336.48        731,840.00
Sewa Bikas Bank Limited        360,640.00    133,919.21        839,360.00
Gandaki Bikas Bank Limited        352,000.00    135,954.00        848,000.00
Biratlaxmi Bikas Bank Limited        340,286.00    134,472.00        859,714.00
Paschimanchal Development Bank Limited        336,521.50    195,457.02        863,478.50
Country Development Bank Limited        332,800.00      44,696.34        867,200.00
Kamana Bikas Bank Limited        278,300.00      95,046.00        921,700.00
Malika Vikash Bank Limited        242,550.00    127,150.00        957,450.00
Araniko Development Bank Limited        223,230.00      88,366.85        976,770.00
Professional Diyalo Bikas Bank Limited        220,000.00      34,451.49        980,000.00
Ekata Bikash Bank Limited        200,000.00      41,225.00    1,000,000.00