Chairman's Message

Kist Bank has embarked on a new journey since May 7, 2009 after its up-gradation to a  Class 'A'  Commercial Bank from a Class 'C' financial institution. Since its inception, it has always been   striving to serve its customers with innovative and customer oriented products and services. In   turn, it has been constantly receiving heartwarming responses from its customers and well   wishers, which has always been a source of inspiration to us to put our best foot forward.

We increased our paid up capital to Rs 2,000 million from Rs 800 million, opened additional 20 branches, introduced several new products and services and upgraded the institution in to a  Class  'A' Bank, and recorded a whopping growth of 200% in total business in FY 2008/09. Last  fiscal year thus  remained a historical year for us.

As we were in operations for 6 years as a finance company, the challenges have increased   immensely, after our up-gradation to a commercial bank, in terms of recruiting and developing   competent human assets, strengthening the existing systems and procedures and enhancing   operating efficiency.

A solid customer base of more than 100,000, a distribution outlets of 45 spread out across

the country, a paid up capital base of Rs 2,000 million and a highly motivated and committed staff force are the bedrocks of Kist Bank which I believe shall enable the Bank to scale the new heights in performance excellence by getting through the most difficult challenges that lied ahead.

We believe that progress and success of any organization depends upon the knowledge, skills and motivational level of its human assets. The hard-working staff force is our core strength, whose untiring effort has brought this Bank up to this level of success. The Bank has formulated an employee-friendly personnel policy with arguably one of the best emolument packages in the industry to commensurate their hard work. The management has been giving utmost priority in imparting training to staff by mobilizing internal and external resources and instilling a sense of belongingness to the Bank.

I am pleased to note that we have recently procured 5.25 ropanies of land for constructing the building for its Head Office and Main Branch. Currently, its Main Branch, Birtamod, Damak, Biratnagar and Narayangarh Branches are operating from own premises.

As the Bank has a strong base in Consumer Banking, we are now focusing in creating a solid foundation in SME and Micro Finance Banking. In line with this strategy, we have already brought out a SME product branded Kist Udyamshil Karja and working to launch a micro financing product. More than 70% people of the country are still said to be out of reach of the banking despite increase in number of Banks and Financial Institutions significantly. Aiming to give much needed access of banking to the actual needy people of the country we have planned to stretch our wings further by opening 9 more branches and enhancing customer base to 300,000 in the current Fiscal Year 2009/10. The current Fiscal Year shall be our infrastructure building year and we will set out to a new journey in next year for celebrating as a business year.

At the end I am sure that the Bank will scale a new height in performance excellence I would like to assure all our stakeholders – customers, regulators, shareholders, employees and communities at large – that we will further strive to deliver value and meet their expectations.

Rajendra Shakya,

Chairman