NEPSE News
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ICRA Nepal Upgrades Mahalaxmi Bikas Bank’s Issuer Rating to BB
ICRA Nepal Limited has reaffirmed Mahalaxmi Bikas Bank Limited (MLBL) issuer rating at [ICRANP-IR] BB, indicating a moderate risk of default in meeting financial obligations. The upgraded rating indicates that the company carries a moderate risk of default in meeting its financial obligations on time. ICRA clarified that the issuer rating reflects the overall credit worthiness of the company and is not assigned to any specific debt instrument. The agency also noted that rating symbols may include a “+” or “–” sign to show relative strength within a category, where BB+ is one notch higher and BB- is one notch lower than BB.
Government Makes Nepal Telecom Voice and Data Services Free in Four Flood-Affected Districts
The government has made voice and data services provided by Nepal Telecom free of charge in four flood-affected districts to facilitate rescue, relief and coordination efforts. The Ministry of Finance said the measure was introduced to ensure easier communication among authorities, security personnel, rescue teams and affected communities during the ongoing disaster. The government has also made arrangements allowing private helicopters deployed for relief, search and rescue operations in the affected areas to operate without obtaining prior permission. According to the Ministry of Finance, the measures have been introduced to expedite rescue and relief operations and improve coordination in the flood-affected areas.
List of Hydropower Project Affected by the Flood in Rasuwa and Nuwakot "Preliminary Status"
Heavy flooding in the region from the China side has impacted key hydroelectric assets across Rasuwa and Nuwakot districts. A total of 9 operational projects generating 359 MW of electricity and 5 under construction projects with a capacity of 394 MW are located across these two districts. The tables below outline the status and capacities of the major hydropower installations across Rasuwa and Nuwakot: Major Hydropower Projects in Rasuwa District S.N. Project Capacity Operational Status 1 Upper Trishuli-1 216 MW Under Construction 2 Rasuwagadhi Hydropower Project 111 MW Operational 3 Rasuwa-Bhotekoshi 120 MW Under Construction 4 Upper Mailung-A 6.42 MW Under Construction 5 Sanjen Khola 78 MW Operational 6 Mailung Khola 5 MW Operational 7 Langtang Khola 20 MW Operational 8 Chilime 22 MW Operational To9tal Operational Hydropower 5 Projects 236 MW Total Under Construction Hydropower 3 Projects 342 MW Major Hydropower Projects in Nuwakot District S.N. Project Capacity Operational Status 1 Trishuli Hydropower Project 24 MW Operational 2 Devighat Hydropower Project 14.1 MW Operational 3 Upper Trishuli-3A 60 MW Operational 4 Upper Trishuli-3B 37 MW Under Construction 5 Middle Trishuli Ganga 15.6 MW Under Construction 6 Solar 25 MW Operational Total Operational Hydropower 4 Projects 123 MW Total Under Construction Hydropower 2 Projects 52.6 MW
House of Representatives Likely to Hold Brief Meeting Amid Rasuwa Floods
The House of Representatives is preparing to hold a shortened meeting on Wednesday in view of the devastating floods in Rasuwa. The meeting, scheduled for 1:00 p.m. today, is expected to proceed with only an emergency session, while the previously scheduled agenda items may be removed. Discussions are currently underway regarding the revised format of the meeting. Prime Minister’s Question-and-Answer Session May Be Suspended The scheduled meeting includes a direct question-and-answer session with the Prime Minister, along with other agenda items. However, lawmakers are discussing suspending the question-and-answer session and not proceeding with the other scheduled business in light of the flood disaster in Rasuwa. Ekaram Giri, Joint Secretary and spokesperson for the Federal Parliament Secretariat, confirmed that discussions are underway to hold a brief meeting focused only on the emergency session. A final decision on the meeting’s agenda and format is expected shortly.
Rasuwa Floods Damage Nine Commercial Bank Branches, Staff Remain Unreachable
At least nine branches of commercial banks operating in the flood-affected areas of Rasuwa have been directly impacted by the devastating floods in the Bhotekoshi River. According to Santosh Koirala, president of the Nepal Bankers’ Association, most of the affected bank branches have either been swept away or suffered extensive damage to their buildings and physical infrastructure. “There were nine bank branches in the flood-affected area, and we estimate that all of them have been damaged. However, communication with the area has been disrupted, making it difficult to collect details of the extent of the damage,” Koirala told Nepal Press. Koirala said more than half of the employees working at the affected branches have yet to establish contact with their respective banks. Some employees have managed to make contact and reported that they are safe, but their offices have been swept away or destroyed, he said. Branches of Nabil Bank, Prabhu Bank, and Global IME Bank, among others, were operating in the affected areas. The Bankers’ Association is attempting to assess the exact extent of damage to the affected branches while coordinating with security agencies to intensify efforts to locate and rescue bank employees. The Bhotekoshi flood that struck Rasuwa on Wednesday morning swept away settlements in the Timure area, also affecting branches of several banks and financial institutions. Banks including Machhapuchchhre Bank, Sanima Bank, Nabil Bank, Laxmi Sunrise Bank, Himalayan Bank, NMB Bank, Global IME Bank, and Nepal Investment Mega Bank had branches in Timure. With settlements swept away and communication services disrupted, banks have been unable to contact employees working at the affected branches. The Nepal Bankers’ Association held an emergency meeting on Wednesday morning to assess the situation and coordinate the response. According to Koirala, the association has already requested the Nepal Army, Nepal Police and other relevant agencies to assist in search and rescue operations. “At present, we have not been able to contact any of the employees. Telephone services have been disrupted, making it extremely difficult to collect details of the damage,” Koirala said. The association is continuing efforts to establish communication with affected employees and obtain further information on the damage to bank branches and infrastructure.
Nepal Rastra Bank to Collect 90 Billion from BFI's Today, Interest to be Returned after 119 Days
Nepal Rastra Bank (NRB) has announced that it will collect deposits worth Rs. 90 billion from banks and financial institutions through a bidding process today. According to a notice published today, the central bank will collect the deposits for a period of 119 days. The bidding will take place on Bhadra 10 (August 26) through the Online Bidding System at 3 Pm. The interest rate will be decided through the bidding process. The minimum amount for bidding has been set at Rs. 10 crore, while the maximum limit is (In multiples of) 5 Crore, up to the total issue amount. However, institutions can submit multiple bids within the total announced amount. Only licensed ‘A’, ‘B’, and ‘C’ class banks and financial institutions approved by NRB are allowed to take part in the bidding. The deposits collected will be returned along with interest on Poush 08, 2083 (23 December, 2026).
Rasuwa Floodwaters Reach Gajuri, Authorities Halt Road Traffic and Begin Evacuations
Floodwaters that caused damage in Rasuwa have reached Gajuri in Dhading, raising concerns among authorities and residents along the river corridor. The unexpected flood reached Gajuri after flowing downstream from Rasuwa, according to information provided by the Muglin Police in Chitwan. Authorities have halted road traffic in the affected area as a precautionary measure. Police have also begun efforts to relocate residents living near the riverbanks to safer locations. Officials are monitoring the situation closely as the floodwater continues to move downstream and have urged residents in vulnerable areas to remain alert and follow safety instructions.
Eastern Hydropower Limited Receives Preliminary Approval from ERC to Issue Right Shares at the Ratio of 1: 0.871
Eastern Hydropower Limited (EHPL) has received preliminary approval from the Electricity Regulatory Commission to issue a 1:0.871 rights offering. The hydropower company proposed to issue 87.10% right shares on the paid-up capital of Rs. 62 crores. After the adjustment of the proposed right share, i.e., 54,00,092.743 units, the paid-up capital of the company will increase to Rs.1.16 arba. The company is issuing the right shares to complete the construction of the hydropower project and to pay other outstanding construction-related expenses. The company will issue the right shares to its shareholders only after the approval of SEBON. As of writing, EHPL has an LTP of Rs. 317.00.
Hydropower Index Falls More Than 2.5%, as Rasuwa Flood Damages Hydropower Infrastructure
Nepal’s hydropower stocks came under heavy selling pressure today following reports of a major flood in Rasuwa, with investors concerned about possible damage to hydropower projects and related infrastructure. As of writing the Hydropower Index fell 90 points, or 2.5%, to 3,576.50 by 11:59 AM. Rasuwagadhi Hydropower Company Limited (RHPL) led the decline, dropping 13.42%, while Chilime Hydropower Company Limited (CHCL) fell 7.39%. Other hydropower stocks also traded lower, including TVCL fell by 6.70% located in Nuwakot and Rasuwa district. The sharp fall in hydropower stocks came after a major flood entered the Bhote Koshi River in Rasuwa from the Tibet side on Wednesday morning. Reports said the flood damaged settlements and hydropower projects in the Syabrubesi and Timure areas, while damage to some projects, including Chilime, has also been reported. Authorities have warned communities along the Bhote Koshi and Trishuli rivers to remain on high alert. The extent of damage to the affected hydropower projects is still being assessed. The uncertainty has increased concern among investors, particularly toward companies with projects and operations in the affected areas. Rasuwagadhi Hydropower operates a 111 MW hydropower project in Rasuwa, while Chilime operates a 22.1 MW plant in the district.
Floods Damage Major Power Infrastructure in Rasuwa, Disrupting Electricity Supply
Severe flooding in Rasuwa today has caused extensive damage to several power plants and transmission networks owned by the Nepal Electricity Authority (NEA), disrupting power supply in Rasuwa and surrounding regions. According to the NEA, key facilities affected by the floodwaters include the Rasuwagadhi, Chilime, and Trishuli-3 'A' hydroelectric power plants, as well as the 220 kV substation at the Trishuli-3 'B' Hub. Additionally, the Trishuli and Devighat power plants, along with local distribution lines, have suffered impacts from the flooding. The disruption across generation, transmission, and distribution systems has led to widespread power outages. The NEA stated that technical teams are making every possible effort to restore electricity as quickly as possible, and it has appealed to consumers to remain patient while repairs are underway.
Flood from Rasuwa sweeps away around 60 houses in Nuwakot's Trishuli Bazaar, Damage to Hydroelectric Power
A flood in the Bhotekoshi River from Rasuwa has swept away around 60 houses in and around Trishuli Bazaar in Nuwakot, while the Devighat area has also been affected. Chief District Officer of Nuwakot, Shambhu Prasad Regmi, said that no human casualties have been reported so far, as local residents along the Trishuli River moved to safer locations immediately after receiving advance warning of the flood. According to him, detailed information on the extent of damage is yet to be compiled. The flood has swept away several houses in Trishuli Bazaar as well as two concrete bridges over the Trishuli River. The Trishuli and Devighat hydropower projects have also been damaged by the flood. Similarly, three blocks of a 25-megawatt solar plant and its substation have been swept away.
रसुवाको बाढीले जलविद्युत आयोजना र प्रसारण संरचनामा क्षति
काठमाडौं । रसुवामा बुधबार आएको बाढीले जलविद्युत आयोजना तथा विद्युत प्रसारण र वितरणसँग सम्बन्धित संरचनामा क्षति पुर्याएको छ। बाढीका कारण रसुवा र आसपासका क्षेत्रमा विद्युत आपूर्ति प्रभावित भएको नेपाल विद्युत प्राधिकरणले जनाएको छ। प्राधिकरणका अनुसार बाढीबाट रसुवागढी, चिलिमे र त्रिशूली–३ ‘ए’ जलविद्युत केन्द्रमा क्षति पुगेको छ। यस्तै, त्रिशूली–३ ‘बी’ हबअन्तर्गतको २२० केभी सबस्टेसन पनि प्रभावित भएको छ। त्रिशूली र देवीघाट जलविद्युत केन्द्रसहित विभिन्न वितरण संरचनामा समेत बाढीले असर गरेको प्राधिकरणले जनाएको छ। विद्युत उत्पादन, प्रसारण र वितरणका संरचनामा क्षति पुगेपछि केही क्षेत्रमा विद्युत आपूर्ति अवरुद्ध भएको छ। प्राधिकरणले आपूर्ति नियमित गर्न आवश्यक काम अघि बढाइरहेको भन्दै विद्युत सेवा सामान्य अवस्थामा नआएसम्म उपभोक्तालाई धैर्य गर्न आग्रह गरेको छ। बाढीबाट विद्युत संरचनाबाहेक घर, सडक, पुललगायतका भौतिक पूर्वाधारमा समेत क्षति पुगेको प्रारम्भिक विवरण आएको छ। बाढीबाट भएको क्षतिको विस्तृत विवरण भने संकलन भइरहेको प्राधिकरणले जनाएको छ। प्राधिकरणले प्रभावित क्षेत्रमा उद्धार, राहत तथा पुनःस्थापनाका लागि सम्बन्धित निकायलाई प्रभावकारी रूपमा परिचालन हुन आग्रह गरेको छ। बाढीको जोखिम अझै कायम रहेकाले नदी तथा खोलाको आसपास र जोखिमयुक्त क्षेत्रमा रहेका सर्वसाधारण तथा कर्मचारीलाई उच्च सतर्कता अपनाउन अनुरोध गरिएको छ। यस्तै, प्राधिकरणले आधिकारिक स्रोतबाट प्राप्त सूचनालाई मात्र आधार मान्न र अपुष्ट समाचार तथा अफवाहमा विश्वास नगर्न आग्रह गरेको छ। पछिल्लो बाढीबाट ऊर्जा पूर्वाधारमा पुनः क्षति पुगेपछि रसुवाको विद्युत उत्पादन, प्रसारण तथा वितरण प्रणाली प्रभावित भएको छ।
Nepal Army Mobilizes Rescue Teams Following Bhotekoshi Flood
The Nepal Army has mobilized rescue and disaster management teams following flooding in the Bhotekoshi River that affected Timure, Syabrubesi and other areas along the riverbank in Rasuwa. According to the Directorate of Military Public Relations and Information, Army personnel were deployed immediately after receiving information about damage caused by the river’s flooding this morning. Two Nepal Army helicopters have landed at Trishuli Bazaar to support search and rescue operations in the affected areas. An emergency medical team has also been deployed to Trishuli District Hospital to provide immediate medical assistance to those affected by the disaster. Rescue teams from the Dhunche and Trishuli Army barracks have been mobilized to the affected areas. In addition, disaster management personnel with specialized expertise from Brigade No. 6 in Gajuri have also been deployed to support the ongoing emergency response. The Nepal Army is coordinating search, rescue, and disaster management efforts in the affected areas as authorities continue to assess the extent of damage caused by the flooding.
Vehicles Bound for Four Districts Stopped in Kathmandu Following Floods and Landslides in Rasuwa
Traffic police have stopped vehicles heading toward four districts from Kathmandu following severe flooding and landslides in Rasuwa. According to Superintendent of Police (SP) Naresh Raj Subedi of the Kathmandu Valley Traffic Police Office, vehicles traveling from Kathmandu to Rasuwa, Nuwakot, Chitwan and Dhading have been halted in the capital. The decision was taken as a precautionary measure amid the flood situation and concerns over road safety in the affected districts. Traffic police have urged travelers to remain alert and avoid unnecessary travel toward areas affected by floods and landslides until conditions improve.
Just Keep Going: Citizens Bank's Message to Nepal's Entrepreneurs
An Interview with Sudhir Regmi , Head-SME Banking Unit, Citizens Bank International Limited . (CZBIL) Nepal’s banking sector is evolving rapidly, with digital innovation, financial inclusion, and affordable financing becoming key drivers of sustainable economic growth. As one of the country's leading commercial banks, Citizens Bank International Ltd. (CZBIL) has continued to strengthen its presence through customer-centric banking, technological advancement, and products designed to support businesses of all sizes. In this exclusive interview with Mr. Sudhir Regmi _ Head - SME Banking Unit. He shares remarkable growth journey, CZBIL’s strategy for standing out in Nepal’s competitive banking industry, its commitment to expanding financial access in underserved regions, and the vision behind the newly launched Easy Business Loan campaign. The discussion also highlights the bank’s perspective on the current business environment and its continued commitment to empowering entrepreneurs and contributing to Nepal’s economic development. Q1. Sir, Citizens Bank International Ltd. has grown significantly since its establishment. Could you briefly share the bank’s journey and key milestones achieved over the years? Citizens Bank International Ltd has made considerable progress since inception and has grown into one of the well-established Commercial Banks in Nepal with a strong presence across the country. The bank has expanded its reach to different parts of Nepal through its branch network of 200 across the Himal, Pahad and Terai regions and has provided quality banking services to people throughout the nation. The bank has been making significant progress in the digital front and process automation, which has helped us receive a prestigious award the “Bank of the Year 2024” and “ Bank of the Year 2025” for two consecutive years . These awards recognize our success in providing excellent services to our customers, commitment towards process automation and the hard work and commitment of our teams towards the bank’s mission & vision. Q2. Nepal’s banking industry is highly competitive, with banks continuously introducing new products and services to attract and retain customers. How does CZBIL differentiate itself from competitors to ensure sustainable growth? The modern banking industry involves more than deposit and loan products. It is all about understanding customer needs and helping them find the best financials solution. Citizens Bank is committed to deliver tailored financials products that support customers at every stage of their financial journey. We have made significant investments in technological innovations for improving the speed and accessibility of our banking services along with the personalized service that we offer. We are the first bank to introduce Virtual Credit Card (VCC). We also offer OR Merchant loan based on transaction history and currently working on a Digital Enterprise loan in Madesh and Koshi Province Q4. As per Nepal Rastra Bank data as of Poush 2082, savings account penetration reached 605 percent in metropolitan cities, 299 percent in sub-metropolitan cities, 177 percent in municipalities, and only 70 percent in rural municipalities. Some argue that financial institutions have focused more on urban markets than rural areas. Do you agree with this assessment, and how is CZBIL addressing financial inclusion in underserved regions? In the past, banks naturally established their presence in cities, as these areas witnessed significant business transactions and economic activities. Thus, account opening was easier in urban areas than in semi-urban and rural areas due to higher economic activity and better access to banking services. However, this scenario is continuously changing with time. Citizens Bank has increased its presence in rural areas by establishing branches in remote districts such as Humla, Mugu, Dolpa and Darchula. These branches are not opened solely with a profit motive rather they aimed at serving the financials needs of people living in rural communities and promoting financials inclusion. What we need to understand is that due to low levels of financial literacy and geographical disadvantage, opening and operating bank accounts in rural areas is often more challenging than in urban areas. To address this gap, the bank regularly conducts financial literacy programs in these areas to raise awareness about financials products and services, helping people understand their financials needs. Therefore, rural areas cannot be directly compared with urban areas, as they face unique challenges in terms of financial literacy, accessibility and economic opportunities. Q5. CZBIL recently introduced the Easy Business Loan. Could you explain the key features of this product and how it supports Nepal’s business community? First of all, I am delighted to share that to mark Citizens Bank's 19th anniversary, our bank has launched the 'Easy Business Loan' campaign. The key features of this product are highly customer-centric. We are offering two distinct variants: Fixed Rate Option at an incredibly competitive 5.99% p.a. for the first 2 years for loans up to NPR 50 Million, and a Floating Rate Option with 0% premium over the 3-month average base rate for loans up to NPR 2.5 Million. Both variants have a minimal management fee of just 0.50%. M/SMEs are considered to be the backbone of our economy but often suffer from unpredictable interest rate hikes. By locking in a low fixed rate for 2 years or eliminating the premium entirely, we are injecting predictable, affordable capital into the market. This allows local businesses to manage their cash flows safely, expand operations, and drive economic growth in their communities. Q6. Could you make us understandable, what distinguishes the Easy Business Loan from conventional business financing products available in the market? What distinguishes the CZBIL Easy Business Loan is its unprecedented cost-transparency and stability. We have completely removed the risk of immediate rate hikes by freezing the rate at 5.99% for two full years under the Fixed scheme. Even under our Floating scheme, we have waived the premium entirely (0% premium). Furthermore, we are offering an aggressive Loan to Value ratio of up to 100% of the Distress Value for smaller facilities. In short, while conventional financing prioritizes risk-premium pricing, we are prioritizing customer focused and value based lending during this anniversary campaign. Q7. Based on Easy Loan Campaign, which types of businesses or entrepreneurs are best suited to benefit from the Easy Business Loan facility? This campaign has been specifically structured to cater to two distinct segments of the M/SME ecosystem: Firstly, our Floating Scheme (up to NPR 2.5 Million) is ideal for micro and small traders, retailers, or agricultural firms, who need low-cost, short-term working capital to manage their day-to-day operational liquidity with LTV ratio at 100% of the Distress Value. Secondly, our Fixed Scheme (up to NPR 50 Million) is tailor-made for growing enterprises requiring long-term structured funding. This is not just for capital expenditure like buying plant and machinery, but importantly for financing Permanent Working Capital a stable source of long - term funding to meet the ongoing working capital requirement. Q8. Access to finance is often a major challenge for first-time entrepreneurs. How does CZBIL support new and aspiring business owners through this product or other initiatives? Yes, this is indeed a very real challenge, especially for first - time entrepreneurs as they usually don’t have much financial history or strong collateral in the beginning. At Citizens Bank International Ltd, we try to support them by looking beyond just traditional requirements. Through products like the Easy Business Loan and other MSME - focused lending schemes, we aim to make the process more approachable for new business owners who have a genuine idea and the ability to run a business. We also work closely with customers to understand their business plans and guide them on how to structure their financing in a practical way. Apart from lending, we also focus on financial awareness and guidance, because many first-time entrepreneurs are not just looking for money, they also need direction on how to manage it properly. Our goal is to be a partner in their journey, not just a lender. Q9. Based on your experience, what are the most common reasons businesses seek financing in the current economic environment? Our understanding is that businesses are not currently borrowing for large expansion. Most of the demand is coming from day to day operational needs. The majority of business demand comes from working capital loans. Traders and manufactures need support to maintain stock, ensure smooth operations, meet creditor obligations, manage cash flows and cover expenses as payment and sales do not always occur at the same time. So overall, it’s quite simple right now, most businesses are borrowing not to grow aggressively, but to keep things stable and manage their day-to-day operations properly. Q10. Finally, what message would you like to share with Nepal’s entrepreneurs and small business owners who are looking to start, expand, or strengthen their businesses? My message to Nepalese entrepreneurs is very simple: “Just keep going”. Starting or running a business is not always easy. There are ups and downs, but if you stay focused and keep working steadily, things slowly start to improve. Don’t be afraid to start small, and don’t be afraid to ask for support when you need it. We at the bank are always there to support you as a financial partner, not just a lender. Our bank offers highly competitive interest rate for M/SME customers. For low financing costs, we request you to visit Citizens Bank and allow us the opportunity to serve your financials needs.
Muktinathal Bikas Bank Offers Auto Loans at 5.54% Ahead of NADA Auto Show 2026
Muktinath Bikas Bank Limited has unveiled a special auto loan scheme targeting NADA Auto Show 2026, under which customers can now avail auto loans at an annual interest rate of just 5.54%. According to the bank, the special rate will be offered at Base Rate at 0 percent. Timed to coincide with NADA Auto Show 2026, the scheme will remain in effect until the end of Bhadra 2083, after which the bank's regular prevailing interest rate will apply. The bank has also arranged to disburse auto loans within 24 hours once a customer's loan application and required documents are complete. The bank believes this will help customers purchase their vehicle of choice through a fast, simple and convenient loan facility. The facility will be available through all 176 branches of the bank nationwide. Customers attending NADA Auto Show 2026 and looking to purchase a new vehicle can benefit from this special scheme, the bank said.
Reminder! Last Trading Day to Secure Dividend of NMB 50, NMB Hybrid Fund L-II and NMB Sulav Investment Fund - II
Today is the last day to grab the dividend proposed by "NMB 50", "NMB Sulav Investment Fund - II" and "NMB Hybrid Fund L-II". In a meeting of the board of directors of NMB Capital Limited decided to distribute a 3.15% cash dividend (including tax) for NMB 50 (NMB50), a 4.5% cash dividend (including tax) for NMB Hybrid Fund L-II ( NMBHF2 ), and a 10% cash dividend (including tax) for NMB Sulav Investment Fund - II (NSIF2) for the fiscal year 2081/82. NMB 50 (NMB50), NMB Hybrid Fund L-II (NMBHF2) and NMB Sulav Investment Fund - II (NSIF2) are all closed-ended mutual funds with a 10-year maturity period, managed by NMB Capital Limited. As of the month of Ashadh, the Net Asset Value (NAV) of NMB50 is reported at Rs. 10.45. NMBHF2's NAV stands at Rs. 10.48. NSIF2's NAV stands at Rs. 11.66. The book closure date for dividend eligibility is 8th Bhadra, meaning unit holders on record till 7th Bhadra are entitled to receive the dividend.
Sunrise Focused Equity Fund Declares 4.50% Cash Dividend for FY 2082/83
Sunrise Focused Equity Fund (SFEF) has announced a 4.50% cash dividend for its unitholders for the fiscal year 2082/83. At the 165th meeting of the Board of Directors of LS Capital Limited, the fund manager, held on Bhadra 05, 2083, the Board decided to distribute the cash dividend to SFEF unitholders for fiscal year 2082/83. Meanwhile, the fund’s Ashadh-end Net Asset Value (NAV) stood at Rs. 10.45, while its market price closed at Rs. 9.80.
Prabhu Select and Smart Funds Propose 12% Cash Dividend for FY 2082/83
Prabhu Select Fund (PSF) and Prabhu Smart Fund (PRSF) have announced their dividends for the fiscal year 2082/83. The board of directors of Prabhu Capital Limited, held on Bhadra 05, had decided to distribute a 12% cash dividend to unitholders of Prabhu Select Fund (PSF) and a 12% cash dividend (including tax) to unitholders of Prabhu Smart Fund (PRSF) for fiscal year 2082/83. Prabhu Select Fund is a closed-ended mutual fund with a 7-year maturity period, while Prabhu Smart Fund has a 10-year maturity period. Both funds, sponsored by Prabhu Bank Limited, are managed by Prabhu Capital Limited. The book closure date will be announced soon.
Sanima Growth Fund Announces 5% Cash Dividend For FY 2082/83
Sanima Growth Fund (SAGF) has announced a 5% cash dividend for its unitholders for the fiscal year 2082/83. The Board of Directors of Sanima Capital Limited, in its meeting held on Bhadra 5, decided to distribute a 5% cash dividend, including tax, amounting to Rs. 3.36 crore to the unitholders of Sanima Growth Fund for the fiscal year 2082/83. Sanima Growth Fund is a closed-ended mutual fund with an 11-year maturity period. The fund is sponsored by Sanima Bank Limited and managed by Sanima Capital Limited. As of the end of Ashadh, the fund's Net Asset Value (NAV) stood at Rs. 10.54. The fund has set Bhadra 18 as the book closure date. Therefore, investors holding the fund's units until Bhadra 17 will be eligible to receive the declared dividend.
Super Madi Hydropower Limited Proposes 15.78947% Dividend for Fiscal Year 2082/83; How Much in Bonus Shares and Cash?
Super Madi Hydropower Limited (SMHL) has called its 17th AGM on 1st Ashwin, 2083. The meeting will be held at Hotel Imperial, Putalisadak, Kathmandu, starting at 11:00 am that day. The company has proposed a 15.78947% dividend for the fiscal year 2082/83. The meeting of the board of directors held on Bhadra 08, 2083 has decided to distribute 15% bonus shares worth Rs. 34.72 Crores and a 0.78947% cash dividend (for tax purposes) worth Rs. 1.82 Crores. The existing paid-up capital of SMHL is Rs. 2.31 Arba. The book closure date is Bhadra 23, 2083. Therefore, the shareholders who maintained their shares before that day are entitled to dividend payout and can attend this AGM.
Why Do Nepal's Commercial Banks Keep Losing to the Market?
The fundamentals behind a decade of underperformance Between 15 July 2017 and 16 July 2026, Nepal's Commercial Banking sub-index rose 1%. Over the same nine years, the broader NEPSE Index rose 64%. Only one other sector on the exchange did worse. That gap is the starting point for this piece: banking is the largest sector on NEPSE by market capitalization, and on paper one of the soundest by average fundamentals, yet it has been among the worst places to make an investment for most of the past decade. The usual explanations, too much supply, too little speculative interest, are real, but they are not the deeper story. The deeper story is that the sector's capacity to pay dividends has collapsed at the same time as bad loans have quietly climbed, and headline valuation ratios have masked both trends for years. Graph 1: NEPSE and Its Sectoral Index Growth, 15 July 2017 – 16 July 2026 (FY2016/17 = Base) . Note: The Microfinance, Life Insurance, Non-Life Insurance, and Investment sector indices began tracking slightly later than the others shown. Commercial Banking posted the second-lowest sectoral growth of the period, ahead of only Investment (-1%). At the other extreme, Trading gained 1,452%, followed by Manufacturing and Processing (329%), Finance (224%), and Hotels and Tourism (218%). The pattern is consistent across sectors: low-float stocks have rallied on comparatively modest speculative buying, while high-float sectors have lagged. Share supply is one of two forces that set a stock's return, alongside its underlying fundamentals. Low-float stocks are easy to move because a small amount of buying makes a huge impact on the free float. Commercial banks sit at the opposite end: their combined paid-up capital exceeded NPR 395 billion by the third quarter of FY2025/26, a scale that makes their share prices far harder to shift on sentiment alone. That leaves fundamentals, rather than trading dynamics, as the real determinant of where bank share prices go next. Yet most long-term retail investors in Nepal concentrate their holdings in banking stocks, drawn by their perceived stability and dividend history. Many have noticed that even years of holding these shares have produced minimal or negative returns, a trend that has sharpened over the last five years. Graph 2: NEPSE Index Growth vs. Commercial Banking Index Growth, FY2016/17–FY2025/26 (Cumulative, Base FY2016/17) . The two indices fell together through the FY 2017/18–FY 2019/20 correction, with banking falling faster (-28% vs. NEPSE's -23% by FY2017/18). They diverged from FY2020/21, when NEPSE surged 82% on the post-pandemic reopening rally while banking rose just 38%. NEPSE kept climbing to 42% cumulative growth by FY2023/24; banking, that same year, turned negative at -14%. It crossed back into positive territory in FY2024/25 (7%) before drifting down to 1% by FY2025/26, even as NEPSE stood 64% above its base. For three consecutive fiscal years, banking moved backward while the broader market advanced. Oversupply explains why banking hasn't rallied as hard as low-float sectors. It doesn't explain why banking has gone backward in absolute terms. That requires looking at what banks can actually afford to pay out, and what's sitting on their books. Graph 3: Commercial Banking Sector, Average Dividend-Paying Capacity per Share vs. NPL Ratio, FY2016/17–FY2025/26 Q3 . Note: FY2025/26 Q3 distributable EPS is drawn from banks' published financial statements; earlier years' figures are from historical NEPSE-listed company filings. Retained earnings and distributable EPS differ slightly due to Nepal Rastra Bank (NRB) regulatory adjustments. In FY2016/17, average dividend-paying capacity across the sector stood at NPR 17.87 per share, against an average non-performing loan (NPL) ratio of 1.60%. By FY2023/24, dividend-paying capacity had collapsed to NPR 0.78 per share, while NPLs had more than doubled to 3.76%. The deterioration continued from there: NPLs reached 4.44% in FY2024/25 and 5.41% by the third quarter of FY2025/26, more than three times the FY2016/17 level. Dividend-paying capacity recovered briefly to NPR 6.27 per share in FY2024/25, then turned negative, roughly NPR -2.51 per share, in the most recent quarter, implying that loan-loss provisioning has, on average, outpaced retained earnings. Throughout this period, banks traded at price-to-earnings ratios of 15 to 20, which on the surface looked undervalued relative to the broader market. That apparent cheapness masked real strain underneath. Even after FY2021/22, when economic growth slowed and NPLs should mechanically have climbed, reported sector-wide NPLs stayed surprisingly low, at just 1.20% that year. By comparison, IMF research on past systemic banking crises finds that a large majority exhibit NPL ratios exceeding 7% of total loans at their peak, with Asian-crisis-era peaks running considerably higher still. Nepal's sector-wide figure has still not approached even the lower end of that historical range five years on, which raises a fair question: how much of the gap reflects genuinely resilient underwriting, and how much reflects accounting or regulatory flexibility in how bad loans get classified and provisioned? This is the part that most retail investors, and, by some accounts, even professional fund managers, appear to have missed. Many continued holding banking stocks with visibly shrinking dividend capacity and deteriorating loan books, because headline ratios like P/E, P/B, and reported EPS growth still looked reasonable in isolation. Not every bank fits the pattern. Among the 19 commercial banks listed on NEPSE, Everest Bank (EBL), Standard Chartered Bank Nepal (SCB), and Sanima Bank (SANIMA) have meaningfully outperformed peers. As of the third quarter of FY2025/26, they reported NPL ratios of 0.61%, 1.81%, and 3.99%, respectively, all comfortably below the sector average of 5.41%. What sets them apart is not their float or their trading volume; it's stronger dividend-paying capacity and materially lower NPLs than the industry average. Investors in most other commercial banks, by comparison, have seen negligible or negative returns over the same period. P/E, P/B, and EPS growth remain useful screening tools, but on their own they are not sufficient for long-term investment decisions in Nepal's banking sector; they can look reasonable even while dividend capacity is collapsing underneath them. Until dividend-paying capacity recovers sector-wide, and non-performing loans and non-banking assets come down meaningfully, a broad recovery in banking share prices looks unlikely, regardless of how attractive individual valuation metrics appear in isolation. For investors positioned in the sector, two figures are worth tracking each quarter going forward: the sector-wide NPL ratio in NRB's quarterly bank supervision reports, and distributable EPS in each bank's unaudited quarterly financials. A sustained reversal in both, not a single good quarter, would be the signal that the sector's decade-long underperformance is finally turning. Until then, selectivity among individual banks, not blanket exposure to the sector, is likely to remain the more rewarding approach for investors in Nepal's banking stocks. Article By: Dipendra Pandey
The Million Rupee Receipt: How a Simple Lottery Could Hand Nepal’s Government Billions in Missing Taxes
Picture yourself stepping into a bustling restaurant in New Road, Kathmandu, having a tasty plate of momo and a drink, and then paying the Rs. 300.00 bill by swiftly scanning a QR code with your phone. More often than not, the story ends right there. You eat, you pay, and you leave. Unless you specifically demand an official tax invoice from the business owner, that purchase might never enter their legitimate ledgers. Unrecorded sales are uncollected taxes – a huge, quiet leak in Nepal’s coffers. Now, in a bid to stop these leaks, the Ministry of Finance and the Inland Revenue Department (IRD) are turning to psychology with a dash of luck. Under the Taxpayer Incentive Gift Program, that everyday retail receipt has transformed from a mere piece of paper or an SMS confirmation into an entry into a lottery with significant cash prizes. By offering daily rewards of Rs. 133,034 and a weekly jackpot of Rs. 1,000,000, the government aims to turn a million ordinary consumers into an active, self-policing network of tax enforcers. 1. The Behavioral Nudge: Turning Consumers into Tax Inspectors Tax administration has traditionally been a grueling process. Revenue authorities expend millions of rupees on auditing businesses, examining account books, and trying to catch dishonest sellers who keep "double books" - one official ledger for the tax department and a much richer one for themselves. The bill lottery fundamentally changes this dynamic by adjusting consumer incentives. Traditional Model : Business owner hides the sale; Consumer has no reason to care about a receipt. The tax is lost forever. Incentivized Model: Customer asks for the receipt. Business owner records the real sale (VAT is applicable and captured). The tax is collected. Instead of Stationing a tax inspector in every shop, street food stall, and store, the Government has provided you with a financially rewarding motivation to demand a proper VAT invoice every time you pay for a good or service. When you confidently say “Please give me my VAT receipt,” it’s not just because you like to be thorough; you’re actually entering a contest where you could win up to Rs 1 million! This simple change in consumer behavior makes it much harder for businesses to operate in the shadow economy. 2. Who can participate and how does it work? The best part about the lottery system is its sheer simplicity. You don’t have to purchase separate lottery tickets; your regular consumer purchases will act as entries into the program. However, there are some key parameters: Entry Requirements: i. The minimum value of a qualifying purchase (for personal consumption) is typically around Rs. 100. ii. A valid business with a registered Permanent Account Number (PAN) or Value Added Tax (VAT) number must issue the receipt. iii. The purchase must be for personal consumption; commercial and business-to-business (B2B) transactions are excluded. iv. Public utility bills such as electricity, telephone, internet, and water charges, along with airline tickets and vehicle purchases, are not eligible for the lottery. v. Each transaction/bill payment can only be used once as an entry. Transaction Type Amount qualifies for lottery? Reason a. Groceries Rs. 80 No. Less than the minimum threshold. b. Coffee at a shop Rs. 250 Yes. Purchase of a personal item from a registered business. c. Mobile Phone purchase Rs. 45,000 Yes. Consumer electronics purchase, with proper bill and PAN. d. Utility bill (electricity) Rs. 3,200 No. Public utilities are excluded. e. Wholesale stock purchase Rs. 150,000 No. This is a B2B transaction. 3. Breakdown of prizes and the 25% tax. The lottery draws and prizes are divided into two categories to keep the excitement high: a. Daily Drawings: One winner each day receives a prize of Rs. 133,034. b. Fortnightly Bumper Drawings: Two lucky winners each month take home a cool Rs. 1,000,000. It’s important to remember that these are gross prize amounts. Under Nepal’s income tax laws, winnings are considered a type of windfall gain and are subject to a flat 25% tax deducted at source. Here’s how that plays out for a winner: Particulars Daily Winner Prize Bumper Winner Prize Gross Prize Rs. 133,034.00 Rs. 1,000,000.00 Deduction @ 25% Rs. 33,258.50 Rs. 250,000.00 Net Payout Rs. 99,775.50 Rs. 750,000.00 4. Why This Model is a Win-Win for the Government. The idea of doling out such large sums of cash daily and fortnightly might seem like a steep expenditure. However, from a fiscal perspective, it’s remarkably cost-effective. Annual Programme Budget: a. For daily draw (365 days x Rs 133,034) = Rs 48,557,410 b. For bumper draw (24 times a year x Rs 1,000,000) = Rs 24,000,000 c. Total prize money allocated per year: approximately Rs 72,557,410 (about 7.26 Crore) This figure doesn't account for administrative overheads like awareness campaigns, website maintenance, and verification technology, which could easily add another Rs 5 to 10 crore, bringing the total yearly cost to somewhere between Rs 12 to 17 crore. Now, compare that to Nepal’s VAT collection target, which is projected to be over Rs 400 billion. Even with all administrative expenses, the entire lottery programme consumes less than 0.02% of Nepal's annual VAT revenue. To simply break even on the program’s costs, the government needs to capture just Rs 115 Crore in previously unreported taxable transactions (at 13% VAT). Given that a vast amount of retail transactions happen informally, reaching this breakeven point is an incredibly low bar. If the program increases compliance by even a small margin, the financial returns will skyrocket. Percentage Increase in Compliance Increase in VAT Collection Net Fiscal Gain* 0.1% Rs. 45.5 Crore Rs. 30.5 Crore 0.5% Rs. 227.5 Crore Rs. 212.5 Crore 1.0% Rs. 455 Crore Rs. 440 Crore 2.0% Rs. 910 Crore Rs. 895 Crore * Net Fiscal Gain = Increase in VAT Collection − Rs. 15 Crore estimated total programme cost. Potential fiscal gain from improved compliance Estimated additional VAT collection and net fiscal gain after deducting Rs. 15 crore in programme costs. 5. The Domino Effect: A boon to Corporate Income Tax The benefits of capturing every retail transaction don’t just end with Value Added Tax. Once a purchase is recorded and a proper receipt is issued, it naturally enters the formal financial system. This means that those sales cannot be conveniently overlooked when the business owner files their annual corporate income tax return. The trickle-down effect of ensuring proper VAT reporting creates an audit trail for other taxes as well: i. Mandatory VAT issuance prompts honest reporting for corporate income tax at the year-end. ii. It also encourages better compliance for Withholding Tax (TDS) and Payroll Taxes. A conservative estimate suggests that for every Rs 100 billion added to the formal tax net through this initiative, the government not only benefits from an additional Rs 50 to 80 billion in VAT but also from roughly Rs 2.5 billion in corporate income tax. 6. Digital Infrastructure Links QR Codes to IRD Software. The real success of this programme hinges on Nepal's robust digital payment system and increasing QR code penetration. Commercial banks and Payment Service Providers (PSPs) will be tightly integrated with the Inland Revenue Department’s central database. When a consumer makes a payment via a QR code at a registered establishment, the payment system will communicate with the IRD’s server to verify that the transaction indeed occurred with a legitimate business and was appropriately recorded. This automation significantly reduces the potential for fraudulent submissions and manual errors. Furthermore, the vast amount of data generated will offer the IRD invaluable insights into purchasing trends, sector-wise sales volumes, and regional compliance patterns, enabling smarter and more targeted tax administration strategies. 7. How Winners Claim Their Prize If your transaction is selected during a daily or fortnightly draw, the process for claiming your money is strictly defined: A Win-Win for the Public Purse The Taxpayer Incentive Gift Programme is more than a novelty giveaway. It is an efficient, low-cost policy mechanism that leverages consumer self-interest to solve a structural enforcement problem. For the government, spending a few crore rupees on prizes to capture hundreds of crore rupees in missing tax is one of the highest-yield investments available in public finance. For everyday citizens, the takeaway is simple: the next time you pay for groceries, dinner, or clothes, ask for your official tax bill. That small piece of paper might just be worth a million rupees. Article By: Aashish Bhattarai
Himalayan Distillery Limited (HDL): A Nine - Year Financial Performance Review (Q4 2074/75 - Q4 2082/83)
Himalayan Distillery Limited (HDL) was established in 1985 AD. According to company, it has focused on research, development, manufacturing, and marketing of quality alcoholic beverages in a responsible and professional manner. The company stated that it emphasizes continuous improvement and professionalism in its operations. It further explained that the company was founded with the vision of establishing a distinctive distillery capable of offering a wide range of high-quality alcoholic products manufactured using advanced technology and processes. The company was initially focused on selling high alcohol content whisky. However, it has now been aggressively expanding its product portfolio, ranging from highly processed premium whisky to low-alcohol beverages and soft drinks. In the coming years, the company’s brands could become more popular among consumers compared with the present context. Here, we examine the company’s performance over the past nine years based on the fourth quarter of each fiscal year, from Q4 2073/74 to Q4 2082/83). Balance Sheet Assets 1. Total Non - Current Assets Total non-current assets remained relatively stable during the initial years, declining from Rs. 645.52 million in Q4 2074/75 to Rs. 586.77 million in Q4 2078/79. Thereafter, they increased significantly, reaching Rs. 955.27 million in Q4 2080/81 and Rs. 1.35 billion in Q4 2082/83. Overall, non-current assets increased by around 108.5%, mainly supported by growth in property, plant and equipment. 2. Total Current Assets Current assets recorded strong growth, increasing from Rs. 545.22 million in Q4 2074/75 to Rs. 4.43 billion in Q4 2082/83. Despite some fluctuations, particularly the decline in Q4 2080/81, current assets expanded substantially and became the major contributor to the company's asset growth. Overall, current assets increased by approximately 712% during the period. 3. Total Assets Total assets increased significantly from Rs. 1.19 billion in Q4 2074/75 to Rs. 5.77 billion in Q4 2082/83, representing growth of around 385%. The increase was primarily driven by the rapid expansion of current assets, along with a significant increase in non-current assets in the latest years. Liabilities and Equity 1. Total Equity Total equity showed strong growth, increasing from Rs. 794.65 million to Rs. 5.22 billion during the review period. Although equity declined marginally in Q4 2080/81, it recovered strongly thereafter. Overall, equity increased by approximately 556%, reflecting a substantial strengthening of the company's capital base. 2. Total Non - Current Liabilities Non-current liabilities declined sharply from Rs. 226.22 million in Q4 2074/75 to Rs. 32.29 million in Q4 2075/76 and remained relatively low thereafter. They increased to Rs. 84.81 million in Q4 2082/83, but remained modest compared with the company's equity and total assets. 3. Total Current Liabilities Current liabilities fluctuated during the period, rising from Rs. 169.88 million in Q4 2074/75 to Rs. 703.10 million in Q4 2076/77, before declining in subsequent years. They stood at Rs. 472.30 million in Q4 2082/83, remaining significantly lower than current assets. 4. Total Equity and Liabilities Total equity and liabilities increased from Rs. 1.19 billion in Q4 2074/75 to Rs. 5.77 billion in Q4 2082/83, in line with total asset growth. In the latest year, equity accounted for around 90.3% of the total, indicating a strong equity-based capital structure and low dependence on external liabilities. Profit and Loss 1. Revenue from Sale of Goods Revenue from sale of goods showed a highly fluctuating but overall upward trend during the review period. Revenue increased from Rs. 2.42 billion in Q4 2074/75 to Rs. 8.11 billion in Q4 2082/83, representing growth of around 235%. It reached a peak of Rs. 7.58 billion in Q4 2078/79 before declining in subsequent years. After a sharp fall to Rs. 2.08 billion in Q4 2080/81, revenue recovered strongly to Rs. 7.20 billion and further to Rs. 8.11 billion in Q4 2082/83, the highest level in the review period. 2. Gross Profit Gross profit increased from Rs. 998.20 million in Q4 2074/75 to Rs. 3.06 billion in Q4 2082/83. Although it fluctuated during the period, the company recorded strong improvement in the latest year. Gross profit reached Rs. 2.50 billion in Q4 2078/79, declined to Rs. 1.35 billion in Q4 2080/81 and then recovered to Rs. 3.06 billion in Q4 2082/83, indicating improved profitability from core sales. Operating Expenses Employee Benefit Expenses Employee benefit expenses generally increased over the period, rising from Rs. 184.60 million in Q4 2075/76 to Rs. 479.13 million in Q4 2082/83. The expense reached Rs. 308.16 million in Q4 2081/82 before increasing substantially in the latest year. The rise reflects increasing employee-related costs as the company's operations expanded. Administrative Expenses Administrative expenses fluctuated throughout the period. They increased from Rs. 135.18 million in Q4 2074/75 to Rs. 171.07 million in Q4 2075/76, before declining to Rs. 79.37 million in Q4 2079/80. The expense increased again to Rs. 195.58 million in Q4 2082/83, indicating higher administrative costs in the latest year. Selling and Distribution Expenses Selling and distribution expenses of HDL remained a significant component of operating costs. They increased from Rs. 338.88 million in Q4 2074/75 to Rs. 707.05 million in Q4 2082/83. Although the expense fluctuated over the years, the sharp increase in the latest year was accompanied by strong revenue growth, suggesting higher selling and distribution activities. Income Measures Operating Profit Operating profit increased from Rs. 552.00 million in Q4 2074/75 to Rs. 1.68 billion in Q4 2082/83. It reached a high of Rs. 1.47 billion in Q4 2078/79 before declining sharply to Rs. 530.38 million in Q4 2080/81. The subsequent recovery to Rs. 1.68 billion represents the strongest operating performance in the review period. Profit Before Tax Profit before tax increased from Rs. 440.10 million to Rs. 1.63 billion during the review period. Despite fluctuations, PBT recovered strongly after falling to Rs. 476.76 million in Q4 2080/81. The latest figure of Rs. 1.63 billion in Q4 2082/83 indicates a significant improvement in overall profitability. Net Profit for the Period Net profit of HDL increased substantially from Rs. 293.49 million in Q4 2074/75 to Rs. 1.21 billion in Q4 2082/83. It reached Rs. 1.06 billion in Q4 2078/79, declined to Rs. 353.05 million in Q4 2080/81 and then recovered strongly in the following two years. The latest net profit represents the highest level during the review period, reflecting strong recovery in both revenue and operating profitability. Profit Margins Gross Profit Margin Gross profit margin fluctuated significantly during the review period. It increased from 41.17% in Q4 2074/75 to 50.62% in Q4 2076/77, before declining to 27.78% in Q4 2079/80. It then reached a sharp high of 64.87% in Q4 2080/81, followed by a decline to 30.12% and recovery to 37.70% in Q4 2082/83. The latest margin indicates an improvement in gross profitability compared with the previous year. Net Profit Margin Net profit margin improved from 12.10% in Q4 2074/75 to 19.92% in Q4 2076/77, before declining to 10.33% in Q4 2079/80. It recovered to 16.96% in Q4 2080/81 but again declined to 13.24% in Q4 2081/82. In Q4 2082/83, the margin improved to 14.86%, indicating a moderate recovery in the company's overall profitability. Current Ratio The current ratio remained above 1 time throughout the review period, indicating that current assets were sufficient to cover current liabilities. It increased significantly from 3.21 times in Q4 2074/75 to 10.88 times in Q4 2079/80. Although it gradually declined thereafter, it remained strong at 9.37 times in Q4 2082/83, reflecting a very strong short-term liquidity position. Per Share Measures 1. Net worth per Share Net worth per share fluctuated throughout the review period. It increased from Rs. 206.06 in Q4 2074/75 to Rs. 256.32 in Q4 2075/76, before declining to Rs. 125.10 in Q4 2080/81. It subsequently recovered to Rs. 141.43 in Q4 2082/83. The recent improvement indicates a gradual strengthening in net worth per share, although it remains below the earlier peak. 2. Earnings per Share EPS showed considerable fluctuations during the period. It increased from Rs. 76.10 in Q4 2074/75 to a high of Rs. 139.26 in Q4 2075/76, before declining to Rs. 27.17 in Q4 2079/80 and further to Rs. 13.21 in Q4 2080/81. EPS then recovered to Rs. 31.02 in Q4 2081/82 and Rs. 32.71 in Q4 2082/83, indicating an improvement in earnings performance in the latest two years. Return Efficiency 1. Return on Equity (ROE) ROE remained relatively strong during the earlier years, reaching a high of 54.33% in Q4 2075/76. However, it declined significantly to 10.56% in Q4 2080/81 as equity expanded and profitability weakened. ROE subsequently improved to 22.83% in Q4 2081/82 and 23.13% in Q4 2082/83, indicating a recovery in the company's ability to generate returns from shareholders' equity. 2. Return on Assets (ROA) ROA also fluctuated during the review period, increasing from 24.65% in Q4 2074/75 to 41.71% in Q4 2077/78. It then declined to 9.72% in Q4 2080/81 before recovering to 20.85% in Q4 2081/82 and 20.90% in Q4 2082/83. The recent improvement indicates better utilization of the company's expanding asset base to generate profits. Dividend History HDL has maintained a variable dividend policy during the review period. Total dividend increased from 68.42% in FY 2074/75 to a peak of 102.63% in FY 2075/76 and remained at 100% in both FY 2076/77 and FY 2077/78. Thereafter, total dividend declined to 70% in FY 2078/79 and further to 25% in FY 2079/80. It reached a low of 20% in FY 2080/81 before slightly recovering to 25% in FY 2081/82. Data Source: The data used in this article has been obtained from SS Pro by ShareSansar.