Annual Report 2008-2009
C o n t e n t s
Vision Mission Statement About Us Strategic Objectives Core values and Ethical Principles Chairman's Statement Financial Highlights Shareholder information Last 7 years at a Glance Management review and discussion Corporate Governance Risk Management Board of directors Senior Management Team Management Team domestic network Global network Board of directors report Corporate Social responsibility Financial Statements Principal accounting Policies notes to account 4 4 4 5 5 6 10 10 11 14 18 20 24 30 31 36 38 39 48 53 85 86
Nepal Investment Bank Limited
To be the most preferred provider of Financial Services in Nepal
Nepal Investment Bank Ltd. (NIBL), previously Nepal Indosuez Bank Ltd., was established in 1986 as a joint venture between Nepali and French partners. The French partner (holding 50%) of the capital) was Credit Agricole Indosuez, a subsidiary of one of the largest banking groups in the world. When Credit Agricole Indosuez decided to divest, a group of companies comprising of bankers, professionals, industrialists and businessmen acquired 50% of the holdings of Credit Agricole Indosuez in Nepal Indosuez Bank in April 2002. The name of the Bank was changed to Nepal Investment Bank Ltd. upon approval of the Bank’s Annual General Meeting, Nepal Rastra Bank and Company Registrar’s Office. The shareholding structure comprises of: • • • • A group of companies holding 50% of the Capital. Rastriya Banijya Bank holding 15% of the Capital. Rastriya Beema Sansthan holding 15% of the Capital. The general public holding 20% of the Capital.
We aspire to be the leading Nepali bank, delivering world class service through a blend of state-ofthe-art technology and visionary management in partnership with competent and committed staff, to achieve sound financial health with sustainable value addition to all our stakeholders. We are committed to fulfilling this mission while ensuring the highest levels of ethical standards, professional integrity, corporate governance and regulatory compliance.
We believe that NIBL, being managed by a team of experienced bankers and professionals with a proven track record, can match your particular needs. We are sure that your choice of bank will be guided, among other things, by its reliability and professionalism. Over the past 7 years, we have grown to become one of the biggest commercial banks in Nepal. Our overall growth record in deposits, lending, net profit and capital base is second to none. • No.1 lender in Nepal with total loans and advances of NRs. 36.83 billion. • No. 1 private sector bank in deposits with NRs. 46.7 billion. • Highest paid up capital base of NRs. 2.41 billion. • 7th largest taxpayer in Nepal. • Highest growth rate among banks in Nepal. • 23 years of stable banking. • Non Performing Assets (NPA) at 0.58%. • Customer base of over 270,000 clients. • The highest capital base with NRs. 3.91 billion. • Experienced management & sound corporate governance. • Net Profit growth of 1480% in last 7 years.
• To develop a customer oriented service culture with special emphasis on customer care and convenience. • To increase our market share by following a disciplined growth strategy. • To leverage our technology platform and pen scalable systems to achieve cost-effective operations, efficient Management Information Systems, improved delivery capability and high service standards. • To develop innovative products and services that attract our targeted customers and market segments. • To continue to develop products and services that reduce our cost of funds. • To maintain a high quality assets portfolio to achieve strong and sustainable returns and to continuously build shareholders’ value. • To explore new avenues for growth and profitability.
Core Values and Ethical Principles...