Garima Bikas Bank Concludes 19th Annual General Meeting, Approves 10.53 Percent Dividend

14th November 2025, Kathmandu

Garima Bikas Bank Limited, a national-level development bank, has concluded its 19th Annual General Meeting (AGM) in Pokhara Metropolitan City, marking a significant milestone in its journey toward structural enhancement and capital strengthening.

Garima Bikas Bank AGM

Held at Hotel Pokhara Grande, the AGM was crucial in approving key financial proposals and strategic decisions that will shape the bank’s future trajectory.

Shareholder Value and Capital Enhancement

The most anticipated outcome of the AGM was the approval of the dividend proposal for the fiscal year 2024/25. Garima Bikas Bank decided to distribute a total of 10.53 percent dividend to its shareholders. This total dividend is composed of:

• 6 percent bonus shares
• 4.53 percent cash dividend (which includes the tax component on both the bonus shares and the cash dividend)

This move is a direct reward to shareholders, reflecting the bank’s commendable financial performance over the period. The dividend is backed by a substantial surge in the bank’s financial results; its Net Profit for the fourth quarter of FY 2081/82 experienced an impressive 201.97 percent increase year-on-year, reaching Rs. 1.31 billion. This strong profitability was underpinned by a rise in Net Interest Income and a significant decline in impairment charges.

The distribution of the 6 percent bonus shares will directly impact the bank’s capital structure. The existing paid-up capital of Rs. 5.68 billion 51 lakh 73 thousand 327 and 57 paisa will be boosted to approximately Rs. 6.02 billion 13 lakh 48 thousand 367 and 22 paisa. This increased capital base is essential for a national-level development bank as it enhances the bank’s lending capacity, improves regulatory compliance ratios, and provides a stronger cushion against potential financial risks, ultimately contributing to its overall financial resilience.

Strategic and Structural Resolutions for Future Growth

Beyond the dividend distribution, the AGM passed several special resolutions that indicate a clear, forward-looking strategy focused on long-term growth and institutional modernization:

Authorized Capital Increase: The bank’s authorized capital was approved to be increased to Rs. 6.10 billion. This increase provides the necessary legal headroom for future capital-raising activities, such as rights issues or further bonus share distributions, which will be vital for supporting the bank’s ambitious business expansion plans.

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Relocation of Central Office: The AGM approved the shifting of the central office from its previous location in Lajimpat, Ward No. 2 of Kathmandu Metropolitan City, to the bank’s newly completed building in Baluwatar, Ward No. 3. This move to a dedicated, modern facility is typical of growing financial institutions in Nepal, often aiming to enhance operational efficiency, improve the corporate image, and centralize management functions. Baluwatar is a strategic location, being the same area where the central bank, Nepal Rastra Bank, is situated, offering logistical benefits.

Branding and Legal Amendments: Changes to the bank’s official seal and logo were also passed, alongside amendments to the Memorandum of Association and Articles of Association. These changes are necessary to formally institutionalize the strategic and structural updates, ensuring the bank’s legal documents reflect its current scale and future direction.

The successful endorsement of key financial reports, including the Annual Report, Balance Sheet, and Profit and Loss Account for FY 2024/25, along with the appointment of a new auditor for FY 2025/26, underscores the bank’s commitment to financial transparency and regulatory adherence.

Digital Expansion and National Footprint

Garima Bikas Bank continues to demonstrate its commitment to financial inclusion and accessibility through an expansive network and focus on technology. The bank currently operates a significant national network comprising 126 branch offices across Nepal and 51 ATMs.

Crucially, the bank is actively developing its digital service ecosystem, emphasizing simple, secure, and high-quality banking services via online and mobile-based banking. This digital push is vital in modern banking, especially in an emerging economy like Nepal, where digital channels are key to serving both urban and remote populations efficiently. This continued investment in digital transformation is directly linked to the bank’s overarching vision of strengthening its institutional performance and enhancing customer convenience across all regions.

The 19th AGM of Garima Bikas Bank signals a confident outlook, confirming its commitment to stability, strong shareholder returns, and a forward-looking strategy of capital and structural modernization to support its sustained growth trajectory.

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