Siddharth Bank's financial condition deteriorating

Kathmandu, 8 August: As the country's economic situation is under pressure and the financial system is facing numerous challenges, Siddhartha Bank is no exception as its financial health is seriously deteriorating, according to an official assigned to oversee the bank's overall performance. 'The ever increasing level of non performing assets/loans (NPA) is one of the major causes of bank's poor financial health and we've directed to reduce to the satisfactory level,' he said requesting anonymity. He also hinted to the negative level of capital fund, high level of NPA and poor risk management of the bank though it has claimed of paying more than Rs 2 billion tax in the last fiscal year. The bank has not received a satisfactory level of return from its huge investments in some enterprises and projects.

Kathmandu, 7 August: Ms. Barbara Schaefer, Head of Division Policy Issues of Cooperation with Asia, South Asia at the German Federal Ministry for Economic Cooperation and Development (BMZ) visited Nepal from 1 to 3 August. The visit aimed to discuss how to shape the future of bilateral development cooperation between Germany and Nepal. Prior the German Chancellor, Olaf Scholz, and Prime Minister of Nepal, Sher Bahadur Deuba, agreed by exchange of letters that they would continue the long-standing development cooperation between the two countries.

Ms. Barbara Schaefer, accompanied by officials from the German Embassy Kathmandu, GIZ and KfW Development Bank, had consultations with highlevel representatives from the Ministry of Foreign Affairs, Ministry of Industry, Commerce and Supplies, Ministry of Health and Population, Ministry of Land Management, Cooperatives and Poverty Alleviation, Ministry of Energy, Water Resources and Irrigation and Ministry of Finance.

Ms. Schaefer highlighted the inspiring dialogue with the political partners, “These three days showed the trustful and longstanding relations between Germany and Nepal. The grant assistance by Germany will support Nepal, inter alia, with its ambitious climaterelated National Determined Contributions (NDC) and facilitate the way to become a middle-income country.” In addition, Germany and Nepal had agreed to look into the areas of health, social protection, sustainable economic development and poverty alleviation as possible areas for future cooperation.

Chargé d'affaires Dr Stephan Russek said, “After more than 2 years of COVID, a German delegation could finally meet partner ministries in Nepal in person and discuss the future of our cooperation. He hoped this is the starting point for more political exchange at the government level between our two countries.”

Nepal and Germany have long-standing bilateral cooperation over 60 years.

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