Himal Press 
KATHMANDU: Net profits of commercial banks surged by 11.52% to Rs 30.59 billion over the first half of the current fiscal year 2025/26.
In the same period of the previous fiscal year, the country’s 20 Class ‘A’ banks had posted a combined profit of Rs 27.43 billion.
Bankers attribute the improvement in banks’ balance sheets to better loan recovery and a gradual revival in economic activity.
Financial statements of commercial banks until mid-January of the current fiscal year show that major financial indicators have begun to
improve even though the banking industry is still suffering from excess liquidity, weak credit demand, and
political uncertainty.
Eleven commercial banks reported growth in their net profits, while eight saw their net profits go down, and one, Laxmi Sunrise Bank, was in the red.
Nabil Bank was the largest earner during the review period, with its net profit rising 46.71% to Rs 4.75 billion by mid-January. Global IME Bank was next with its profit rising by 6.50% to Rs 3.25 billion. Kumari Bank jumped to third place with its net profit rising by a whopping 886% to Rs 2.72 billion. Everest Bank Ltd and Prime Commercial Bank were in the fourth and fifth positions, respectively, with net profits of Rs 2.11 billion and Rs 2.04 billion.
On the other hand, Laxmi Sunrise Bank suffered a net loss of Rs 273.6 million due to provisioning requirements. Three other banks, state-owned Agricultural Development Bank, Citizens Bank, and NIC Asia Bank, reported profits below Rs 1 billion. Net profits of these banks fell by 26%, 45%, and 13.54%, respectively. Nepal Investment Mega Bank, Prabhu Bank, NMB Bank, and Himalayan Bank also saw their net profits go down by 43%, 24%, 17%, and 15%, respectively.
