Kathmandu. Nepal Rastra Bank has amended the working procedure of 2072 BS to approve agreement and dividend to publish financial statements for the purpose of annual general meeting of banks and financial institutions in 5 years. After the amendment of this procedure, the distribution of dividend to the founder share investors who have invested in more than one bank and financial institution will be stopped.

The weighted average interest rate of the deposit held by the licensed institution in mid-July 2077 BS should not exceed the percentage. Licensed entities with a net distributable profit of less than 5 percent of the total paid-up capital will not be allowed to distribute cash dividends except for tax purposes. In order to ensure that there is no ambiguity in the calculation of distributable profits by the working procedure of NRB, it has been mentioned in the working procedure that there will be no obstacle in calculating the total distributable profit for this year by adding the distributable profits accumulated from previous years.

Cash to be disbursed by a bank or financial institution after the issuance of shares by the bank or financial institution five years from the date of commencement of business and issuance of shares to the public by the founder holding more than two percent of the paid-up capital. NRB has stated that dividend or bonus shares will be withheld.