Kathmandu. News about the merger between the banks has been published since the initial practice. Among such news items are 'NCC Bank merging with Nabil Bank', 'Efforts to merge between Global IME Bank and Prime Commercial Bank'. The NRB leadership is shocked to read this news. And, he has begun preliminary discussions about the limits of the Big Merge.

NRB has felt the need for new criteria on how big a merged bank can be. Criteria need to be set so that a bank does not have more than a certain share of the total market.

These large mergers have created pressure on other banks to merge as well. On the one hand, there are those who want to merge to stay competitive in the market, while on the other hand, the aspiration to become the largest bank seems to have taken the initiative for merger.

In the last fiscal year, NIC Asia Bank had extended loans beyond Rs 90 billion. In the same year, 26 other banks extended loans on an average of Rs 27.65 billion. Other banks were also under great pressure as NIC Bank aggressively expanded its market. According to the central bank, if a bank becomes too big, its activities will affect the entire market, so it is risky for the market for any bank to be too big.