The amount that banks had to set aside in provision fell by an average of 27.65 percent: in a minus of 3, how much of the others?

लगानी न्यूज

३१ श्रावण २०८३, आईतवार १६:५०August 16, 2026

. The amount allocated by commercial banks for impairment charge has decreased in the current fiscal year 2082-83. According to the data available, the total amount of loan loss management of 20 banks is Rs 3.73 billion.

In the previous fiscal year 2081-82, such amount was Rs 5.16 billion.TAG_OPEN_div_24 In the last one year, the impairment charge of banks decreased by 27.65 percent. A reduction in the impairment charge means that the amount set aside by the bank for potential loss is reduced.

The reduction in impairment charges is generally considered a positive sign for banks.TAG_OPEN_div_22 As loan recovery improves, or as the quality of credit improves, the amount that banks have to set aside for potential losses decreases. The bank’s overall profit has also increased due to the reduction in impairment charges.

In the last fiscal year 2082-83, the profit of 20 commercial banks increased by an average of 32.32 percent.TAG_OPEN_div_20 The banks’ net profit increased to Rs 69.88 billion in the last fiscal year from Rs 52.81 billion in the previous FY. The reduction in impermanence charges has helped to increase the net profit of the bank.

According to the data released by the banks, the loan loss of three banks has been seen in the negative.TAG_OPEN_div_18 The impairment charge of Kumari Bank, Nepal Bank and Standard Chartered Bank is in the minus. Nepal Investment Mega Bank is the largest bank that has allocated the highest amount for the impairment charge. In the last fiscal year, the bank had set aside Rs 6.19 billion for impairment charge.

Similarly, Prabhu Bank is the second bank with the highest allocation of impairment charges.TAG_OPEN_div_16 The bank has set aside Rs 4.94 billion for the impairment charge.