World Merchant Banking in trouble

Kathmandu, APR 20:

Nepal Rastra Bank (NRB) has declared World Merchant Banking and Finance problematic. The class ‘C’ finance company had been under the central bank’s scrutiny for a long time and was undergoing prompt corrective action since October 2012. It had been unable to generate profits since the last two fiscal years as its non-performing loans were higher than 17 per cent. Its share trading had resumed in late March after it aborted its merger procedure. Likewise, NRB has also given a Letter of Intent for the merger of Bageshwari Development Bank and Shangrila Development Bank. The two regional development banks plan to become a national level development bank following the merger.

Source: THT