Global IME Bank Marks Two Decades of Growth, Proposes 10% Dividend Amidst Strong Financial Performance

Global IME Bank Limited, one of Nepal's leading commercial banks, is celebrating a significant milestone, marking two decades of its journey in the Nepali financial sector. The bank is set to convene its 20th Annual General Meeting (AGM) on Ashoj 16, 2080 (October 3, 2023), where it will present its robust financial performance for the fiscal year 2079/80 and propose a 10% dividend to its shareholders.

Over the past two decades, Global IME Bank has demonstrated remarkable growth, expanding its capital base, deposit portfolio, loan disbursements, customer outreach, service network, and digital banking capabilities. This consistent expansion has solidified its position as a dominant player in the highly competitive Nepali banking landscape, contributing significantly to the nation's financial inclusion and economic development.

As of the end of the fiscal year 2079/80, the bank's total deposit collection reached an impressive NPR 700.44 billion, reflecting strong public trust and effective deposit mobilization strategies. Concurrently, its total loan investments stood at NPR 476.84 billion, underscoring its significant contribution to economic growth by financing various sectors, from small and medium enterprises to large corporate projects. The bank's paid-up capital has also grown substantially, reaching NPR 38.116 billion, positioning it among the largest capitalized banks in the country and enhancing its capacity for further expansion.

The financial results for FY 2079/80 highlight a commendable performance, with the bank reporting a net profit of NPR 6.036 billion. This represents a significant year-on-year increase of 15.90%, showcasing the bank's operational efficiency, strategic prowess, and effective asset management. During the same period, the bank's deposits grew by 21.80%, while its loan portfolio expanded by 8.22%, indicating a healthy and balanced growth trajectory despite a challenging economic environment characterized by fluctuating interest rates and liquidity concerns.

In recognition of its shareholders' continued support and to share the fruits of its success, the Board of Directors has proposed a total dividend of 10% for the current fiscal year. This proposed dividend comprises 6% in cash dividends and 4% in bonus shares. The distribution of this dividend is contingent upon approval from the upcoming Annual General Meeting. This move is expected to be well-received by investors, reflecting the bank's commitment to delivering consistent returns and enhancing shareholder value.

Global IME Bank has a strong track record of rewarding its shareholders. Excluding the currently proposed dividend, the bank has historically distributed a total of NPR 236.12 per share in the form of cash and bonus shares. This includes NPR 79.20 per share in cash dividends and NPR 156.92 per share in bonus shares, demonstrating a long-term commitment to shareholder value creation. Upon the successful distribution of the proposed 4% bonus shares, the bank's paid-up capital is projected to further increase to approximately NPR 39.64 billion, enhancing its financial strength and capacity for future growth and regulatory compliance.

Beyond financial metrics, Global IME Bank has also made significant strides in expanding its service network, ensuring accessibility and convenience for its growing customer base across Nepal. Currently, the bank operates an extensive network comprising 341 branches, 366 ATMs, 141 branchless banking service points, and 69 extension and revenue collection counters. Furthermore, to cater to the needs of the Nepali diaspora and facilitate international transactions, the bank maintains three representative offices abroad. With over 1,000 service centers nationwide, Global IME Bank is dedicated to providing comprehensive banking services to a diverse clientele, leveraging both physical presence and digital platforms.

Looking ahead, Global IME Bank has outlined a strategic vision focused on sustained business expansion, accelerated digital transformation, robust risk management frameworks, and continuous improvement in loan quality. The bank's overarching goal is to create sustainable returns for its shareholders while maintaining a strong financial foundation. As it embarks on its third decade, the bank is committed to striking a balance between aggressive business growth and ensuring long-term profitability and stability, reinforcing its position as a pillar of Nepal's financial sector and a reliable partner for its stakeholders.