Kathmandu, February 25:

Lumbini Finance & Leasing Co Ltd (LUFIL) has decided to give 5.26 per cent of paid up capital cash dividend to its shareholders.

The 11th annual general meeting of LUFIL held the other day passed a proposal to give dividend from the profit earned during the fiscal year 2005-06.

Presenting the annual report, Prem Bahadur Shrestha, chairman of LUFIL said that the company made an operating profit of Rs 15,039,583 during the fiscal. Total deposits of LUFIL increased by 12.17 per cent to Rs 741.67 million, whereas total loans and advances rose by 14.04 per cent to Rs 752.08 million.

Although the company earned the operating profit, LUFIL’s non-performing loan (NPL) also increased to Rs 8.99 million during the review period from Rs 5.09 million a year ahead.

Shrestha informed that LUFIL has applied for a membership of cheque clearing house.

LUFIL’s total deposit level has touched Rs 805.24 million as of the first six months of the current fiscal, whereas total loans and advances crossed Rs 839.02 million.