KATHMANDU: Five development banks and three financing organizations were the targets of regulatory action by Nepal Rastra Bank (NRB) for violating standards in the final quarter of the fiscal year 2023–2024. Best Finance, Reliance Finance, and Progressive Finance are the impacted finance organizations, and the development banks involved include Excel Development Bank, Sindhu Development Bank, Corporate Development Bank, Narayani Development Bank, and Karnali Development Bank.
Both Sindhu Development Bank and Narayani Development Bank were told to act quickly to make up for their failure to satisfy the necessary capital adequacy ratios. Failure to maintain the legally required cash reserve ratio resulted in penalties for Karnali Development Bank. A penalty was imposed on Corporate Development Bank, Excel Development Bank, Best Finance, Reliance Finance, and themselves because they submitted their balance sheets, profit and loss statements, and public financial disclosures to the NRB tardily.
In addition to missing the deadline for its annual general meeting for the fiscal year 2021–2022, Progressive Finance was cited for failing to complete its external audits.
