31st May 2025, Kathmandu
Need funds for investing, business expansion, or personal use? Don’t rush to sell your shares. Nepal Investment Mega Bank (NIMB) offers a smarter solution—Loan Against Shares, also known as Share Karja or Margin Lending.
NIMB Loan Against Shares
This financial product allows individuals and businesses to access liquidity by pledging listed shares as collateral. You get the money you need while still keeping ownership of your investments.
What is Share Karja?
Share Karja is a secured loan where your publicly traded shares act as security. It gives you financial flexibility without having to sell your portfolio. You still receive dividends and gain from any increase in share prices.
This loan suits:
Investors wanting to expand their portfolio
Businesses seeking working capital
Individuals needing funds for planned or emergency expenses
Top Benefits Of Loan Against Shares
Here’s why NIMB’s Share Karja stands out:
Keep Your Shares Intact
You don’t have to sell during a market dip. You keep your shares and still access funds.
Liquidity at the Right Time
The loan helps cover financial gaps—whether for new investments, medical needs, or family obligations.
Earn While You Borrow
Even after pledging shares, you continue to receive dividends and benefit from capital appreciation.
Digital Tools and Transparency
NIMB offers a Margin Loan Calculator on its website. This helps you estimate borrowing power based on your shares. The bank also explains taxes, interest options, and regulatory rules clearly.
Who Can Apply?
The application process is inclusive and transparent. Eligible applicants include:
Nepali Citizens
Non-Resident Nepalis (NRNs)
Other individuals approved by the Government of Nepal
Firms or companies involved in investing or share trading
Age criteria: Applicants must be between 25 and 70 years.
Types Of Share Karja Loans
NIMB offers two structured loan types:
Revolving (Overdraft) Loan
Offers a flexible credit limit
Borrow, repay, and borrow again
Renewable if repayment behavior is good
Great for frequent traders or investors
Time Loan (Demand Loan)
Fixed-term loan, up to 1-year tenure
Best for one-time planned needs
Repay the principal at the end of the term
Choose based on your usage pattern and financial planning.
Loan Evaluation Criteria
NIMB follows responsible lending practices. Before approving your loan:
Individuals: Your Debt-to-Income Ratio (DTI) must not exceed 50%
Firms and companies: Debt Service Coverage Ratio (DSCR) must be at least 1.1 times
The bank ensures that your repayments are within your financial capacity.
Interest Rates and Repayment Terms
You can choose either fixed or floating interest rates. Repayment is done:
Monthly or quarterly
Based on the Gregorian calendar
Interest starts from the month or quarter after the first withdrawal
This setup provides a predictable and manageable repayment timeline.
How Much Can You Borrow?
The loan amount depends on your share type and valuation. Here’s the breakdown:
For Public Shares:
Borrow up to 70% of the lower of:
180-day weighted average price
Current market price
For Promoter Shares:
Borrow up to 50% of the lower of:
Half of the 180-day average price
Current market price
If you own more than 1% promoter shares in BFIs, only 50% qualify.
If your promoter holding is over 2%, you’ll need NRB approval.
Loan Limits
To manage financial risk, NIMB has clear limits:
Minimum loan: NPR 0.5 million
Maximum loan: NPR 5 million
There are regulatory limits, too:
Individual borrowers: Max NPR 150 million across all BFIs
Institutional investors: Max NPR 200 million
These limits help you avoid over-leveraging.
Which Shares Are Not Eligible?
NIMB prioritizes security and compliance. The bank will not accept shares from:
BFIs declared problematic by NRB
Companies with negative net worth
Firms showing losses for 3 consecutive years
Companies without regular audits or AGMs
Stocks not traded on NEPSE for at least 250 days
Shares trading below face value
Companies operating for less than 1 year
These measures protect both the borrower and the banking system.
What Documents Do You Need?
To apply, prepare the following:
For Individuals:
Completed loan application
Citizenship Certificate
KYC documents
PAN Certificate (for loans above NPR 2.5 million)
Credit Information Center (CIC) report
AML/CFT declaration
For Firms or Companies:
Registration Certificate
MOA, AOA, or Partnership Deed
Net Worth Statement
Tax Returns, Audited Reports, or Income Sources
Bank Statements for capital gain, dividend income
Security Documents:
Share Pledge Deed
Signed DIS Cheques
Personal or Corporate Guarantees
Legal papers: Letters of Continuity, Set-Off, or similar agreements
NIMB may ask for more documents depending on your profile.
How To Apply?
Ready to apply? Follow these steps:
Visit the NIMB official website
Use the Margin Loan Calculator
Collect your documents
Visit your nearest NIMB branch or connect with a loan officer
Apply and await approval
The process is simple, fast, and transparent.
Final Thoughts: A Smart Financial Move
NIMB’s Loan Against Shares is an excellent tool for investors and businesses alike. It helps you retain ownership, gain quick access to capital, and plan your finances more effectively.
With well-defined loan terms, a user-friendly application process, and strong compliance, Share Karja empowers you to grow without selling your future.
Whether you want to invest more, manage personal needs, or support business operations, NIMB gives you the flexibility to succeed.
For more: NIMB Loan Against Shares