Nepal currently has 27 national level commercial banks. Some of these banks are also preparing for mergers.

A study conducted by Nepal Rastra Bank has concluded that 11 to 15 commercial banks would be suitable in Nepal. The survey showed that 11 to 15 commercial banks would be suitable in Nepal.

NRB had selected a total of 230 people for the study survey. Of these, 140 were affiliated with banks and financial institutions and 90 were experts.

 

According to the NRB, 140 people included CEOs, deputy CEOs, acting CEOs, directors and other top managers of banks and financial institutions.

 

Most of the participants in the survey have mentioned that the number of commercial banks in Nepal is more than required.

 

Of the 140 people who participated in the survey on behalf of banks and financial institutions, 84 percent and 78 percent of experts said that the number of commercial banks was more than required.

 

Half of those surveyed said that 11 to 15 commercial banks would be suitable in Nepal. One in five participants in the survey mentioned that the number of banks should be 5 to 10.

 

Similarly, 15 percent have mentioned that 16 to 20 banks would be suitable. The rest are said to be 20 to 25 banks.

Similarly, 61.4 percent of the participants from banks and financial institutions have stressed the need to merge by giving incentives. Similarly, 18.6 percent have mentioned voluntary merger and 12.1 percent have mentioned force merger.

 

Similarly, 61 percent of the survey participants mentioned that there should be a merger between a weak bank and a strong bank.

 

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