Commercial Banks Invest Nearly NPR 2.5 Trillion in Construction Sector, Nabil Leads
As of mid-September (Bhadra) of the current fiscal year 2083/84, 20 commercial banks have invested NPR 244.76 billion in the construction sector, up 17.20% year-on-year. Nabil Bank leads in absolute investment, while Agricultural Development Bank tops the growth rate.
Kathmandu. Commercial banks have significantly increased their lending to the construction sector. According to data published by Nepal Rastra Bank for the second month of the current fiscal year 2083/84 (up to Bhadra), 20 commercial banks have invested NPR 244.76 billion in the construction sector.
In the same period of the previous fiscal year 2082/83, loans amounting to NPR 208.84 billion were disbursed in this sector. Compared to the previous year, banks' lending to the construction sector increased by 17.20% during the review period.
During the review period, 18 banks increased their lending to the construction sector, while 2 banks saw a decline. As of Bhadra of the current year, Nabil Bank is the largest lender in the construction sector, while Agricultural Development Bank leads in terms of growth rate.
- Nabil Bank: Disbursed NPR 28.30 billion in loans by Bhadra, an increase of 11.21% compared to NPR 25.44 billion in the same period last year.
- Laxmi Sunrise Bank: In second place, this bank invested NPR 26.37 billion, up 24.65% from NPR 21.16 billion in the same period last year.
- Citizens Bank: In third place, this bank increased its lending by 28.01% to NPR 21.43 billion, compared to NPR 16.74 billion in the previous year.
Compared to the previous year, NIC Asia and Kumari Bank saw a decline in construction sector lending. Although the remaining 18 banks increased their lending, Agricultural Development Bank recorded the highest growth rate at 63.28%.
Nepal SBI Bank is the smallest lender in the construction sector. By Bhadra of the current fiscal year, the bank invested NPR 1.05 billion, which is 14.47% more than the previous year.