Nepali commercial banks’ profits rise 7.32 percent amid persisting economic challenges
Summary
Nepali commercial banks posted a 7.32 percent rise in combined net profits in the first two months of FY 2026/27, led by Nabil Bank, Global IME Bank and Nepal Investment Mega Bank. Weak credit demand, excess liquidity and rising bad-loan pressure continued to weigh on profitability.
Key Points
- Twenty commercial banks earned a combined net profit of Rs 17.81 billion in the first two months of FY 2026/27, up from Rs 16.59 billion a year earlier.
- Nabil Bank reported the highest profit at Rs 1.80 billion, while Himalayan Bank posted the fastest growth at 55.13 percent.
- Seven banks saw profits decline, including Citizens Bank, Nepal Bank and Standard Chartered Bank.
- Bankers said profits were supported by loan recoveries, short-term investments, digital banking growth and fee income, but pressure remains from non-performing loans and weak credit demand.
