Garima Samriddhi Yojana to Not Distribute Dividend This Year
13th August 2026, Kathmandu
Garima Samriddhi Yojana, the initial closed-end mutual fund scheme operated under Garima Mutual Fund, will not distribute any dividend to its unit holders for fiscal year 2082/83.
Garima Samriddhi No Dividend Distribution
The collective investment scheme is managed by Garima Capital Limited and promoted by Garima Bikas Bank Limited.
The decision was officially finalized during the 94th meeting of the Board of Directors of Garima Capital Limited, which took place on Shrawan 27, 2083. During the meeting, the board formally evaluated and approved the financial statements for fiscal year 2082/83 following the successful completion of the external audit process. Upon reviewing the audited operational results, the board elected not to declare any dividend distribution for unit holders for the review period.
Approval of Annual Audited Financial Statements
The formal resolution passed by the Board of Directors included the full approval of the audited financial statements for Garima Samriddhi Yojana for fiscal year 2082/83.
The approved financial disclosures encompass the overall scheme balance sheet detailing total assets, liabilities, and net asset values at the close of the fiscal period. They also include the profit and loss statement outlining total investment income, realized capital gains, unrealized gains, and operational expenses, as well as the statement of cash flows reflecting operating cash movements, investment activities, and liquidity reserves. All supplementary financial notes, schedules, and disclosures prepared in compliance with prevailing accounting principles and mutual fund regulations were formally accepted.
Overview of Garima Samriddhi Yojana and Capital Structure
Garima Samriddhi Yojana operates as a 10-year closed-end balanced mutual fund scheme with a total fund size of NPR 1,250 million. As an investment vehicle, the scheme pools funds from institutional and retail investors to create a diversified portfolio comprising listed equity securities, fixed-income instruments, government bonds, and money market deposits.
Garima Capital Limited serves as the fund manager and issue manager, while Garima Bikas Bank Limited acts as the scheme promoter. The decision to retain earnings rather than distribute a dividend reflects the capital management strategy of the board to maintain scheme reserves and navigate equity market volatility.
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Detailed Financial Review and Market Position
The mutual fund industry operates under regulatory directives established by the Securities Board of Nepal. Fund managers are required to undergo comprehensive annual audits to evaluate portfolio valuation, net asset values, and distributable reserves before declaring dividends to unit holders.
For Garima Samriddhi Yojana, maintaining strong liquidity buffers and protecting unit holder capital amidst market fluctuations remains a core operational objective. By choosing to forego dividend distribution for fiscal year 2082/83, Garima Capital Limited retains full earnings within the fund balance sheet. This retention strategy enhances the net asset value resilience of the scheme and provides the fund management team with greater operational flexibility to capitalize on future market opportunities in equity and debt markets.
Role of Fund Manager and Scheme Sponsor
Garima Capital Limited has consistently focused on maintaining robust corporate governance standards, transparent financial reporting, and rigorous portfolio analysis across all its managed investment products. As the licensed fund manager, the company oversees daily asset allocation, asset valuation, regulatory compliance, and risk management protocols for Garima Samriddhi Yojana.
Garima Bikas Bank Limited, as the promoter institution, provides strong financial backing and institutional credibility to the mutual fund framework. The strategic alignment between the sponsor bank and the capital management subsidiary ensures that investment decisions are executed with due diligence and long-term value creation in mind.
Future Outlook for Unit Holders and Investment Strategy
Investors and unit holders of Garima Samriddhi Yojana are advised to consider the long-term horizons associated with closed-end mutual fund investments. While annual cash dividends provide immediate yield, capital retention allows the scheme to reinvest accumulated returns into growth-oriented securities and strategic capital market instruments.
Moving into the upcoming fiscal period, the management team at Garima Capital Limited plans to continue optimizing asset allocation across equities, fixed-income products, and money market securities. The primary objective remains maximizing total returns for unit holders over the complete 10-year maturity period of the scheme while maintaining effective risk controls.
Summary of Mutual Fund Board Resolution and Outlook
The decision by Garima Capital Limited not to distribute a dividend for Garima Samriddhi Yojana for fiscal year 2082/83 completes the annual financial audit cycle for the closed-end fund. By retaining full income within the scheme, the fund manager aims to preserve capital, maintain net asset stability, and optimize future portfolio repositioning for unit holders as market conditions evolve.
