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Commercial banks have set aside Rs 35.07bn for loan loss provisions in the third quarter of fiscal year 2024/25. According to the recent data of the Nepal Rastra Bank, the amount is Rs 4.80bn less than Rs 39.87bn that the bank had allocated for provisioning in the same period of the previous fiscal year.

Of the 20 commercial banks in the country, Everest Bank allocated the least amount for loan loss provisions, setting aside only Rs 270m. This is lower than Rs 630m that the bank had set aside for provisioning in the same period of 2023/24. Standard Chartered Bank reversed its loan loss provisions, recording a write-back of Rs 99m in the third quarter year, against a Rs 250m provision in the same period of the previous fiscal year.

On the other hand, Kumari Bank topped the list for the highest loan loss provisions, allocating Rs 5.16bn by mid-April. Laxmi Sunrise Bank was next with Rs 3.19bn allocated for the same purpose by the end of third quarter. The need for high provision is due to rising non-performing loan (NPL) levels in the banking system. NPL levels of banks have reached as high as 8 percent by the third quarter. Out of 20 commercial banks, 18 saw an increase in their NPL level, with one bank recording an NPL ratio of nearly eight percent. Nine banks have an NPL ratio above five percent, while three banks—Standard Chartered, Sanima, and Everest—have NPLs at or below four percent. Banks like Nepal Investment Mega, Himalayan, Kumari, Laxmi Sunrise, NIC Asia, Nepal Bank, and Prabhu Bank also have NPL ratios exceeding five percent.

Banks profit up by 1.4 percent

Commercial banks collectively earned a net profit of Rs 41.25bn over the first nine months of 2024/25. According to the NRB, this is an increase of 1.4 percent over Rs 40.68bn that the bank had reported in the same period of the previous fiscal year. The profit growth is largely due to the facility for restructuring and rescheduling loans in the construction provided by the central bank. In the third quarter, 11 banks reported higher net profits, while nine saw a decline.

Nabil Bank has recorded the highest net profit among 20 commercial banks in the country. The bank’s net profit has reached Rs 5.05bn—a growth of 8.21 percent from the same period of the last fiscal year. Nepal Investment Mega reported a 38.61 percent surge in net profit to Rs 4.54bn, while Global IME’s profit grew by 37.12 percent to Rs 4.53bn. Everest Bank saw its net profit rise by 32.55 percent to Rs 3.45bn. Nepal Bank Limited reported the highest net profit growth of 2,032.8 percent, with its net profit reaching Rs 2.78bn by the third quarter.

Gold price has set a new record in the domestic market today.

According to the Nepal Gold and Silver Dealers’ Association, the price of precious yellow metal has increased by Rs 6, 900 per tola and is being traded at Rs 197, 900 per tola.

Likewise, the price of silver has increased by Rs 10 and is being traded at Rs 1, 970 per tola.

US stocks and the dollar plunged again as President Donald Trump intensified his attacks on the US central bank boss calling him "a major loser" for not lowering interest rates, BBC reported.

In a social media post, Trump called on Federal Reserve chair Jerome Powell to cut interest rates "pre-emptively" to help boost the economy, saying Powell had been consistently too slow to respond to economic developments. 

"There can be a SLOWING of the economy unless Mr. Too Late, a major loser, lowers interest rates, NOW," he wrote.

Trump's criticism of Powell's handling of the US economy comes as his own plans for tariffs have driven a stock market sell-off and raised fears of economic recession, according to BBC.

The Sagarmatha region has witnessed the footfall of some 700 tourists in a single day.

The  Office of the Sagarmatha National Park at Namche informed that it recorded the number of tourists in Khumbu region at 694 on Monday alone.

Ranger at the Office, Bibek Shrestha, said that most  of the tourists are foreigners- 608, while the domestic tourists figured 86.  

The Sagarmatha climber Temba Chhiri Sherpa informed that with the onset of Spring Season, the region saw the influx of tourists. It is difficult to find good accommodation due to the surge in arrival. 

There are increasing air flights to Lukla with the clear weather, according to Amrit Magar, In-Charge of Tara Air at Lukla.

"We have added flights considering the improved weather so that more tourists would visit the district having worlds' highest peak," he said, adding that hotel reservations are high now.

Senior Vice Chairman of the Trekking Agencies' Association of Nepal, Karma Sherma, said the tourism entrepreneurs were happy to see tourists' inflow. The region is bustling after the Covid-19, which had hit the tourism business hard. 

More number of tourists there are in the Sagarmatha district, the more jobs there are for locals. Hotels at Lukla and Namche are packed, Sherpa added.

Most of these tourists visit the Sagarmatha National Park to increase the revenue. 

The Park's Office informed that a visitor from a SAARC nation is charged Rs 1,500  while Rs 3,000 is taken from each foreigner from other countries as an entry fee in the Park. A Nepali is required to submit Rs 100 entry fee.