Kathmandu, January 31:

Established on a strong foundation of professionals with solid background on banking sector, Development Credit Ba-nk Ltd (DCBL) has completed its five years of service and is lo-oking forward to competing wi-th the commercial banks under category A within four years.

Sudhir Khatri, Chief Executive Officer of DCBL gives all the credit to his management team for their diligent and tireless efforts to place the bank at the pinnacle of success. “There is no doubt that our success is due to the efficient management team and the quality of service,” said Khatri.

“According to Nepal Rastra Bank (NRB), the bank is rated under category B currently. Ho-wever, we are concentrating our efforts to advance our bank to category A,” he said, “We are already eligible to compete for category A, as we meet the norms set by the NRB such as maintaining liquidity and generating profit for consecutive four years. However, we are yet to strike the target of paid-up capital of one billion rupees as per the NRB provision.”

“We are working on a strategic plan to increase our paid-up capital to Rs 500 million in next four years and then issuing shares to make our capital base of one billion,” Khatri said adding that DCBL is ready to compete with other banks.

“The bank at present has a deposit of about Rs 200 million and Rs 180 million borrowings. Making the bank the ‘most trustworthy bank’ is our motto and on the run of five years of service we have already bagged ISO 9000:2001 awards and also the best development bank award from NRB, which are our intangible assets,” Khatri said. He is also of the opinion that the government should open avenues for banks to open branches and to invest in bonds in the Indian market and other SAARC countries.

“Now Nepal has become a member of World Trade Organisation (WTO) and post-2009, we might see the advent of other multi national banks in Nepal. To compete with them there is a need to have a strong capital base,” Khatri said. “NRB should also think of venture capital concept,” he added.

“Banking sector is a business where customer relationship plays a crucial role,” Khatri said adding that any bank that can instantiate, develop and maintain customer relationship and terminate unwanted customers would strive towards success. DCBL is waiting for the NRB’s approval to open branches in Pokhara, Bhairahawa, Birgunj and Biratnagar. It is also planning to issue ‘pre-paid cards’.

Khatri suggested the government to make transparent tax system. “Regulations and transparency are two main sectors where the government should keep it eyes wide open,” he said.