Citizen Investment Trust Agreement Bank with Excel Development Bank
17th March 2026, Kathmandu
A landmark Citizen Investment Trust agreement bank has been formalized between the Citizen Investment Trust and Excel Development Bank Limited.
Citizen Investment Trust Agreement
This strategic partnership focuses on the professional management and operation of gratuity and retirement funds, marking a significant step toward institutionalizing employee financial security within Nepal’s development banking sector.
Agreement Signing Details
The agreement was officially signed on Sunday, bringing together leadership from both organizations. Executive Director Parbat Kumar Karki represented the Citizen Investment Trust, while Chief Executive Officer Dr. Indra Kumar Kattel signed the document on behalf of Excel Development Bank Limited.
This collaboration creates a legal and operational framework for handling long-term employee benefits. By outsourcing these liabilities to a specialized national trust, the bank ensures that its retirement provisions are managed with the highest level of financial expertise and transparency.
Objective of the Agreement
The primary mission of this Citizen Investment Trust agreement bank is to provide a systematic and secure environment for the management of employee retirement assets. Under this agreement, the Citizen Investment Trust (CIT) assumes full responsibility for the organization and mobilization of:
- Retirement-linked benefit schemes
- Gratuity funds for permanent staff
- Other specific employee-related financial provisions
This transition ensures that funds are not just sitting as a liability on the bank’s balance sheet but are actively managed to generate returns for the employees while remaining available for timely disbursement upon service completion.
Direct Benefits for Bank Employees
Approximately 300 employees across Excel Development Bank’s regional network stand to benefit directly from this transition. By having their funds managed by the CIT, staff members gain an added layer of financial protection.
Significant advantages for the workforce include:
Professional Asset Management: Individual retirement savings are invested by CIT experts to ensure growth through interest and returns.
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Enhanced Transparency: Employees can more easily track their accumulated gratuity and retirement balances through CIT’s reporting systems.
Prompt Payouts: The agreement streamlines the administrative process for receiving terminal benefits, reducing the wait time for retirees.
Loan Accessibility: As per CIT regulations, employees may be eligible to take loans or advances against their accumulated savings, providing a vital source of credit for personal needs.
Institutional Impact and Expansion
Excel Development Bank currently operates across 8 districts through its provincial-level offices. As the bank expands its footprint in eastern Nepal, maintaining a high standard of employee welfare is essential for talent retention and recruitment.
The Citizen Investment Trust agreement bank provides a scalable solution for the bank’s human resource management. It allows the bank to focus its internal resources on core banking operations like lending and deposit mobilization, while the specialized CIT handles the complexities of social security and retirement fund administration.
Role of the Citizen Investment Trust (CIT)
The Citizen Investment Trust is a pivotal institution in Nepal’s financial landscape, specialized in capital market activities and the management of both mandatory and voluntary savings schemes. Through partnerships like this, the CIT continues to fulfill its mandate of mobilizing internal capital for national development while providing a safety net for the country’s workforce.
This specific agreement strengthens the bond between the national trust and regional development banks, promoting a more integrated and secure financial ecosystem for the banking industry.
Conclusion
The Citizen Investment Trust agreement bank between the Citizen Investment Trust and Excel Development Bank is a proactive move toward better corporate governance and employee welfare. By securing gratuity and retirement funds through a specialized national institution, the bank is ensuring long-term peace of mind for its staff and setting a positive benchmark for the regional banking sector.
For More: Citizen Investment Trust Agreement
