Kathmandu. Kumari Bank Ltd., in collaboration with IMS Software Pvt. Ltd., has launched Nepal’s first integrated digital loan platform, aiming to take digital banking to a new height. Through this innovative initiative, Kumari Bank will provide collateral-free loan to its customers through IMS’s ERP software.

For this, the long paperwork and the hassle of visiting the branch will be eliminated. The loan application platform facilitates the entire process from loan application, approvion, disbursement and payment process to complete the payment process digitally.

Direct integration with ERP system will enable the bank to assess creditworthiness of a business through real-time data such as sales, turnover, and holdings. This data-driven system provides financial access to businesses without the need for traditional collateral, helping them make quick and accurate decisions.

Businesses using ERP can avail working capital loan (working capital loan) up to Rs 5 lakh, which can be repaid in equated monthly installments (EMIs) up to 12 months, based on their own performance. The bank plans to make the financial process simpler, faster and more effective by increasing the loan limit in the future based on the use of services, demand and directives from Nepal Rastra Bank.

This initiation is in line with NRB’s vision of digital credit enhancement and enhancement of credit access Kumari Bank is a reflection of its commitment towards innovation and financial inclusion, especially benefiting the Small and Medium Enterprises (SMEs).

The initiative is expected to further strengthen financial inclusion by targeting over 9 lakh small and medium enterprises (SMEs) making a significant contribution to Nepal’s economy. It is also believed to contribute positively to the promotion of entrepreneurship, expansion of business and overall economic activities.

With a nationwide network of 286 branches and 41 extension counters, with strong banking experience and association with technology partners, Kumari Bank stands at the forefront of digital financial transformation in Nepal and believes this initiative will set a new benchmark in credit accessibility for SME and will continue to do so in the days to come.