Most Profitable Commercial Banks in Nepal — FY 2025/26 Rankings
Nepal's 20 commercial banks just posted their strongest combined profit growth in years — even as the broader economy slowed and lending stayed weak. Here's the full, ranked breakdown of who made the most money, who grew the fastest, and which banks actually saw profits shrink during the first 11 months of fiscal year 2025/26.
Sector Overview
According to Nepal Rastra Bank (NRB) data, Nepal's 20 commercial banks posted a combined net profit of Rs 64.56 billion during the first 11 months of FY 2025/26 (mid-July 2025 to mid-June 2026) — up 19.62% from Rs 53.97 billion in the same period a year earlier. Of the 20 banks, 14 reported higher profits while 6 saw declines. Bankers attribute the improvement primarily to better loan recovery, reduced funding costs as deposit rates fell, and tighter operational efficiency, rather than any broad-based expansion in new lending.
#1 Nabil Bank — Nepal's Most Profitable Lender
Nabil Bank retained its position as the country's single most profitable commercial bank, with net earnings rising 32.51% year-on-year to Rs 8.49 billion. This is the fourth consecutive review period in which Nabil has topped the sector, reflecting its scale, diversified fee income, and consistently strong capital base.
Biggest Riser: Kumari Bank
Kumari Bank recorded the steepest percentage growth of any commercial bank in Nepal this year: net profit surged an extraordinary 1,168%, from just Rs 371 million a year earlier to Rs 4.70 billion. While part of this jump reflects a low base from the prior year, it still marks a dramatic operational turnaround driven by improved loan recovery and tighter cost management.
Banks That Reported a Decline in Profit
Six banks bucked the sector-wide growth trend. NIC Asia Bank recorded the steepest fall, with profit plunging 38.81% to roughly Rs 508 million. Prabhu Bank saw the second-largest decline, down 34.91% to Rs 1.50 billion. Nepal Investment Mega Bank fell 21.04% to Rs 4.49 billion, Everest Bank slipped 2.76% to Rs 4.12 billion, Standard Chartered Bank Nepal declined 3.74% to Rs 2.62 billion, and Global IME Bank saw a marginal 0.96% dip to Rs 5.97 billion.
Full Ranked Table of All 20 Banks
| Rank | Bank | Net Profit (11 mo. FY25/26) | YoY Change |
|---|---|---|---|
| 1 | Nabil Bank | Rs 8.49 Billion | +32.51% |
| 2 | Global IME Bank | Rs 5.97 Billion | -0.96% |
| 3 | Kumari Bank | Rs 4.70 Billion | +1,168% |
| 4 | Nepal Investment Mega Bank | Rs 4.49 Billion | -21.04% |
| 5 | Everest Bank | Rs 4.12 Billion | -2.76% |
| 6 | Prime Commercial Bank | Rs 3.74 Billion | +29.06% |
| 7 | Rastriya Banijya Bank | Rs 3.72 Billion | +68.81% |
| 8 | NMB Bank | Rs 3.63 Billion | +19.78% |
| 9 | Nepal Bank Ltd. | Rs 3.32 Billion | +8.37% |
| 10 | Sanima Bank | Rs 3.12 Billion | +44.84% |
| 11 | Laxmi Sunrise Bank | Rs 2.89 Billion | +12.17% |
| 12 | Siddhartha Bank | Rs 2.80 Billion | +26.30% |
| 13 | Standard Chartered Nepal | Rs 2.62 Billion | -3.74% |
| 14 | Machhapuchhre Bank | Rs 2.17 Billion | +44.25% |
| 15 | Agriculture Development Bank | Rs 1.95 Billion | +7.67% |
| 16 | Nepal SBI Bank | Rs 1.83 Billion | +18.66% |
| 17 | Citizens Bank International | Rs 1.74 Billion | +23.71% |
| 18 | Prabhu Bank | Rs 1.50 Billion | -34.91% |
| 19 | Himalayan Bank | Rs 1.16 Billion | +28.59% |
| 20 | NIC Asia Bank | Rs 0.51 Billion | -38.81% |
Figures are based on Nepal Rastra Bank data for the first 11 months of FY 2025/26 (mid-July 2025 to mid-June 2026), as reported in Nepali financial press. Final audited year-end figures may differ slightly.
What Drove Profit Growth Despite Weak Lending
This profit growth needs to be read against a broader economy that itself slowed — Nepal's preliminary FY 2025/26 GDP growth came in at just 3.85%, down from a revised 4.43% the previous year. That means bank profits accelerated even as the real economy they serve decelerated. The main driver: funding costs fell faster than lending income, since banks slashed deposit rates aggressively (see our deposit rate update) while loan pricing didn't fall nearly as fast — widening interest spreads even without much new credit growth. Improved recovery of previously stressed loans also added directly to the bottom line for several banks, most visibly Kumari Bank and Rastriya Banijya Bank.
What This Means for Shareholders and Depositors
For shareholders, stronger profits generally support healthier dividend prospects, though actual payouts also depend on each bank's capital planning and NRB's dividend distribution rules. For depositors, rising bank profitability driven by falling deposit costs is something of a double-edged sword — it strengthens the banks holding your money, but it has also come hand-in-hand with the lower FD and savings rates discussed in our other posts. Investors evaluating bank stocks should weigh profit growth alongside asset quality (NPL trends) and CD ratio, rather than net profit figures alone, since a single year's profit jump — as with Kumari Bank's 1,168% rise from a very low base — doesn't always indicate a sustainable long-term trend.
Frequently Asked Questions
Which is the most profitable bank in Nepal in 2026?
Nabil Bank, with a net profit of Rs 8.49 billion in the first 11 months of FY 2025/26, followed by Global IME Bank (Rs 5.97 billion) and Kumari Bank (Rs 4.70 billion).
Why did Kumari Bank's profit grow so much?
Kumari Bank's profit rose 1,168% largely because of a very low base in the prior year combined with significantly improved loan recovery and cost efficiency during FY 2025/26.
Which bank had the worst profit performance?
NIC Asia Bank recorded the steepest percentage decline among all 20 commercial banks, with profit falling 38.81% year-on-year.
Are these figures audited?
These are unaudited figures reported to Nepal Rastra Bank for the 11-month period through mid-June 2026, as published in Nepali financial media. Final year-end audited results, typically released a few months later, may show minor revisions.
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