Mahalaxmi Bikas Bank AGM Approves 10.37 Percent Dividend and Elects New Board

6th January 2026, Kathmandu

The 24th Annual General Meeting of Mahalaxmi Bikas Bank Limited has successfully concluded in Kathmandu, marking a significant milestone for one of Nepal’s leading development banks. Held at the Tribhuvan Army Officers Club in Bhadrakali on Poush 21, the meeting was chaired by Rajesh Upadhyaya.

Mahalaxmi Bikas Bank AGM

The primary outcome of this assembly was the formal approval of a 10.37 percent dividend, which signals a period of improved financial health and strategic growth for the institution. This gathering served as a platform for shareholders to review annual performance and set the course for the upcoming fiscal year through the election of new leadership.

Dividend Approval and Shareholder Returns

A major highlight for investors during the Mahalaxmi Bikas Bank AGM was the confirmation of the dividend payout. Based on the proposal submitted by the Board of Directors, the assembly approved a total dividend of 10.37 percent of the current paid-up capital. This distribution is structured to provide immediate liquidity as well as long-term value. Specifically, shareholders will receive a 5.37 percent cash dividend, which includes the amount required for applicable taxes. In addition to the cash component, the bank is issuing 5 percent bonus shares.

This payout represents a notable increase compared to the previous fiscal year, when the bank distributed a 7 percent dividend. The jump in returns reflects the ability of the bank to navigate challenging economic landscapes while prioritizing shareholder value. By balancing bonus shares with cash dividends, the bank effectively increases its capital base while rewarding the loyalty of its investor community. This move is expected to bolster investor confidence and improve the market sentiment surrounding the bank’s stock.

Comprehensive Review of Financial Performance

During the session, shareholders engaged in a detailed discussion regarding the financial transparency and reporting standards of the bank. The assembly officially approved the major financial statements for the fiscal year ending in Ashad. These documents included the balance sheet, profit and loss account, cash flow statement, and the statement of changes in equity. The thorough review of these reports underscores the commitment of the bank to maintain high standards of corporate governance and financial integrity.

The financial data presented during the AGM revealed several positive trends in the operations of the bank. One of the most significant indicators was the sharp decline in the base rate. The rate dropped from 9.39 percent in the previous year to 6.94 percent. A lower base rate is a critical indicator of efficient liquidity management and a reduction in the cost of funds. This allows the bank to offer more competitive interest rates on loans, which can drive credit growth and support local businesses.

Strong Capital and Deposit Growth

The stability of a financial institution is often measured by its capital adequacy and the growth of its core banking activities. Mahalaxmi Bikas Bank reported a strong improvement in its capital adequacy ratio, which rose from 14.93 percent to 17.06 percent. This increase suggests that the bank has a robust buffer against potential financial risks and is well-positioned to meet regulatory requirements while expanding its lending portfolio.

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In terms of business volume, the bank reached a total deposit figure of NPR 56.22 billion by the end of the fiscal year 2081/82. On the lending side, loans and advances reached NPR 47.21 billion. These figures demonstrate a steady expansion of the market presence of the bank and its ability to mobilize savings while deploying credit effectively across various sectors of the economy. The growth in deposits particularly highlights the trust that the general public places in the security and service quality of the bank.

Election of the New Board of Directors

The AGM also facilitated the election of six directors to the Board, as per the prevailing regulations of the bank. The leadership structure ensures representation from both the promoter and general public shareholder groups. From the promoter group, the elected directors include Rajesh Upadhyay, Sanjay Giri, and Sagar Mall, who represents Growing Pvt. Ltd. Representing the general public shareholders are Shyam Sundar Rungta, Rahul Agrawal, and Shalik Ram Aryal.

Immediately following the conclusion of the general meeting, the newly formed Board held its first session. In a move that ensures strategic continuity and stability, the Board unanimously re-elected Rajesh Upadhyay as the Chairman. Under his leadership, the bank has achieved significant milestones, and his reappointment is seen as a commitment to maintaining the current upward trajectory of the institution.

Strategic Vision and Future Outlook

In his address to the shareholders, Chairman Rajesh Upadhyay expressed his appreciation for the constructive feedback and suggestions provided during the meeting. He emphasized that the bank is focused on refining its operational processes to enhance service delivery. The primary goal remains to provide high-quality financial services that cater to the modern needs of customers while ensuring reasonable returns for investors.

The bank intends to focus on institutional capacity building and operational efficiency in the coming years. By leveraging technology and improving customer service standards, Mahalaxmi Bikas Bank aims to differentiate itself in the competitive development banking sector of Nepal. The emphasis will be on providing specialized services that support economic development at the grassroots level.

The successful conclusion of the 24th AGM marks a new chapter for Mahalaxmi Bikas Bank. With a strengthened governance structure, improved financial ratios, and a clear dividend policy, the bank is well-equipped to face future challenges. Stakeholders can look forward to a period of sustained growth as the bank continues to expand its reach and improve its financial standing in the national market. This proactive approach to banking ensures that the institution remains a key player in the financial landscape of Nepal, providing value to both its customers and its owners.

For More: Mahalaxmi Bikas Bank AGM