Kathmandu, March 31:

A high level management expert from Agricultural Development Bank Ltd (ADBL) today disclosed that the management is all set to review its human resource policy to make it compatible and efficient to cope up with emerging challenges in the financial sector.

Prof Dr Bijay K C, dean of South Asian Institute of Management (SAIM) and chairman of ADBL disclosed that after the bank converted into a limited company, it has to face with new market challenges in financial sector alongside private sector banks. Prof KC said that reorientation in HRD is the need of the hour for ADBL’s reforms.

He disclosed that the Nepal Rastra Bank (NRB) has recently given an approval to ADBL for carrying out ‘unified banking transactions’. To keep it going smoothly, ADBL has to identify its ‘strengths and weaknesses’ and remember that its strength lies on ‘rural financing.’

KC who is also the former dean of the Kathmandu University, opined that ADBL does have a strong networking and its resource base is not as bad as others. Given such a context, employees need to change their working style and work in a business-like manner and impart the bank a market-driven approach, KC suggested.

We need to change to sustain ourselves financially, said Prof KC. The entire system of HRD is in dire need of review, said KC while talking about preparation of a good remuneration package for its employees to motivate them to enhance productivity of the bank, coupled with performance review of employees every six months.

On the reform process in the bank, he said, “We don’t want to aggressively undertake reforms but work steadily by understanding the modern market techniques in the financial sector.”

Talking about the overall financial sector, Prof KC said that the fundamentals are weak. He said that the conflict has affected rural lending. If we could minimise the extend of conflict, we can develop new instruments for the Nepali financial sector like derivatives, mutual fund and securities.