KATHMANDU: Janata Bank Nepal Ltd started its operations from today as the 27th commercial bank in the country. Nepal Rastra Bank (NRB) had given it an operating licence last week. “We got the operating licence last week and today we started our operations informally,” said Bijay Pant, CEO of the youngest Class-A bank in the country. “We are yet to formally start our operations.” “With a paid up capital of Rs 1.40 billion and 835 promoters, we have the largest paid-up capital and number of promoters,” he said. Guru Prasad Neupane is the chairman of the Bank with journalists, academicians and professionals as promoters. Despite the overcrowding of banks, there are more commercial banks in the pipeline, some of them already got the Letter of Intent (LoI) from the central bank. Megha Bank Ltd, Century Commercial Bank and Civil Bank are the banks in pipeline. On one hand, only two-third of the population have access to banking system, and on the other, the number of banks are mushrooming in urban areas fuelling unhealthy competition. The already operating Class-B and C financial institutions are also planning to upgrade. Not long ago, Kist and NMB underwent upgrading to become a commercial bank. Development Credit Bank Ltd — the 24th commercial bank— was upgraded from Class-B development bank. Nepal Merchant Banking and Finance Company is the 25th commercial bank to be upgraded as NMB Bank from class-C category. Similarly, Kist Bank became the 26th commercial bank after it upgraded itself from Class-C financial institution. According to the central bank’s six months’ data, total number of companies listed at the Nepse increased to 165 in mid-January 2010 compared with 149 last year. Among them, 133 are banks and financial institutions (including insurance companies).

Commercial banks

1 Nepal Bank Ltd 2 Rastriya Banijya Bank 3 Nabil Bank Ltd 4 Nepal Investment Bank Ltd 5 Standard Chartered Bank 6 Himalayan Bank Ltd 7 Nepal SBI Bank Ltd 8 Nepal Bangladesh Bank Ltd 9 Everest Bank Ltd 10 Bank of Kathmandu Ltd 11 NCC Bank Ltd 12 Lumbini Bank Ltd 13 NIC Bank Ltd 14 Machhapuchhre Bank Ltd 15 Kumari Bank Ltd 16 Laxmi Bank Ltd 17 Siddhartha Bank Ltd 18 Agriculture Development Bank Ltd 19 Global Bank Ltd 20 Citizens Bank International 21 Prime Commercial Bank Ltd 22 Bank of Asia Nepal Ltd 23 Sunrise Bank Ltd 24 Development Credit Bank 25 NMB Bank Ltd 26 Kist Bank Ltd 27 Janata Bank Nepal Ltd