Banks Prepare to Distribute Dividends Before Dashain
Summary
Banks in Nepal are preparing to distribute dividends before Dashain, with several institutions already sending financial statements to Nepal Rastra Bank for approval. Commercial banks are expected to prioritize cash dividends this year, while some lenders may not have the capacity to pay dividends at all.
Key Points
- Most operating banks have begun preparations to complete annual general meetings and distribute dividends before Dashain.
- Financial statements from several banks, including Nabil Bank, Everest Bank, Machhapuchchhre Bank, Kumari Bank, Sanima Bank and Nepal Infrastructure Bank, are awaiting approval from Nepal Rastra Bank.
- Banks are prioritizing cash dividends over bonus shares as the central bank approves capital-raising measures such as redeemable preference shares and rights shares.
- Several commercial banks have shown dividend capacity up to 38.32%, while some banks appear unable to distribute dividends this year.
