As per the fourth quarter financial statements of the last fiscal year 2076/77 published by the commercial banks, the net profit of the banks has decreased by 78 percent.
Last fiscal year, the net profit of 21 out of 27 banks has shrunk. Banks' profits have declined by an average of 11 percent.
Banks, which earned a total net profit of Rs 61.68 billion in the fiscal year 2075/76, have shrunk to a total of Rs 54.31 billion in the last fiscal year. This is Rs. 7.37 billion less than the previous year. In the previous fiscal year, the profit growth rate of banks was around 25 percent.
The profits of 21 banks have declined by 78 percent in the last fiscal year. The average profit of these banks has declined by about 17 percent.
Civil Bank and Nepal SBI Bank have seen the biggest decline in profit in the current fiscal year. Among them, Civil was the biggest loser at 35.4 per cent and SBI at 33.23 per cent.
6 banks increase profits
Despite Corona, six banks have managed to increase their profits. Compared to the previous year, the profit of these banks has increased as they have been able to collect deposits as well as loan investments and collect most of the installments / interest due during the corona period.
Similarly, Machhapuchhe Bank has lost 26 percent while Sanima, Citizens, Prabhu, Nepal Investment, Bank of Kathmandu and Nepal Bangladesh Bank have lost more than 21 percent.
Similarly, the profit of Nabil Bank, which has always been strong in private sector banks, has also declined. Its net profit has declined by about 16 percent.
Only six banks' profits have declined by less than 10 percent in the last fiscal year. Of which, Kumari Bank has the lowest decline of 0.31 percent.
Commercial banks have increased their profits the most in the current fiscal year. The bank has increased its net profit by 33.99 percent. Century has increased its profit by about Rs 230 million to Rs 900 million in the last fiscal year.
Similarly, the global IME bank has also increased its profit by 11 percent. NCC increased its net profit by 10.74 per cent, Prime Commercial by 4.28 per cent, NIC Asia by 3.25 per cent and NMB Bank by 0.59 per cent.
As in previous years, Rastriya Banijya Bank has topped the list of most profitable banks in the last fiscal year. The commercial bank, which has reduced its profit by about Rs 590 million compared to the previous fiscal year, has become the most profitable bank by earning Rs 4.45 billion in the last fiscal year.
Similarly, four banks have earned more than Rs 3 billion in the last fiscal year. Nabil Bank is in the second place with Rs 3.56 billion, while Agriculture Development, NIC Asia and Global IME Bank are in the top five. In the previous fiscal year, there were five banks earning more than Rs 3 billion.
Similarly, seven banks have earned more than Rs 2 billion in net profit in the last fiscal year. Among them are Nepal Investment, Nepal, Himalaya, Everest, Prime, NMB and Siddhartha Bank.
Similarly, four banks have made a profit of more than Rs 1.5 billion while nine banks have made a profit of Rs 1 billion to Rs 1.5 billion. In the last fiscal year, two banks have made a profit of less than Rs 1 billion. Including Civil and Century Bank.
The lowest profitable bank last year was Civil. It has made a profit of only Rs 450 million.