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Vol. 1 – Issue 2

NEWS

Civil Bank Introduces New Products

Civil Bank has introduced a replacement for its Civil Bank Bonanza Fixed Deposit, Utkrista Muddhati Patra and Ama Buwa

Muddhati Khata in the form of Civil Bank Nagarik Muddhati Patra and Civil Bank Time Deposit targeting individuals and

institutions. The Nagarik Muddhati Patra offers an attractive interest rate as well as 90% loan against the fixed deposit amount.

Time Deposit, which is a variation of a fixed deposit scheme, offers flexibility to the depositor.

Revision of Interest Rates

Civil Bank revised its interest rates on variety of saving accounts, fixed deposit accounts and various types of loan products as of

Chaitra 1, 2068. This revision has been done to be in tune with the current market conditions. Due to excess liquidity and

competition and in order to spur growth in lending the Bank has undertaken optimum level approach giving due consideration

to the volumes of loan, deposit and related interest rates.

Civil Bank holds its First Annual General Meeting

Civil Bank Limited

concluded its first Annual

General Meeting (AGM)

under the chairmanship

of the Chairman of the

Bank, Er. Ichchha Raj

Tamang on Poush 30,

2068, Saturday. The AGM

decided to continue with

the current Board of

Directors comprising of

Mr. Ambir Bogati, Mr.

Prakash Tayal, Ms. Juni

Gurung and Mr. Trimir

Maharjan under the

chairmanship of Er.

Ichchha Raj Tamang. A

copy of the minutes of

the AGM can be obtained

via the Bank’s official

website.

(http://www.civilbank.com.np/pdf/AGM%20Minute%20final.pdf)

Civil Bank Quarterly Newsletter

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Civil Bank Bancassurance

Civil Bank has signed Bancassurance Agreement with PrimeLife Insurance on April 26, 2012 for the sale of life insurance products

to the customers of the Bank. The partnership provides the Bank’s individual customers a unique opportunity to purchase their

life insurance protection through their chosen Bank and enjoy the security and prompt services of the Bank.

Civil Bank ties up with Prabhu Money Transfer

Civil Bank and Prabhu Money Transfer have entered into an agreement to make inflow of remittance more secure and

convenient. The customers will have access to remittance service from any of the bank’s branches without hassle. Prabhu

Money Transfer has more than 1600 agents all over the country.

Installation of ATMs

Civil Bank has installed ATMs at various location of Bhat-Bhateni Super Market, the country’s biggest supermarket and

departmental store. The Bank installed 3 ATMs at Chuchepati (Bouddha), Koteshwor, and Krishna Galli (Pulchwok) with the

objective of providing customers the flexibility to withdraw money as and when required.

EVENTS/CORPORATE SOCIAL RESPONSIBILITY/SPONSORSHIPS

Civil Bank Defends Inter Bank Beach Cricket 2012 Title

In the Beach Cricket Tournament organized by Shangri-La Cricket Academy, Civil Bank triumphed once again and defended the

'Inter Bank Beach Cricket 2012' title. The event that was held from March 30 to March 31 at Riverside Spring Resort, Kurintar and

saw 10 teams participating in it. In the final match Civil Bank nonchalantly beat Sunrise Bank to take home the trophy.

The event was held in order to encourage team building (through team building exercises), networking in a friendly

environment and having fun at the same time.

First Anniversary Activities

To mark the Bank’s first anniversary and as part of its social responsibility, the CEO of the Bank, Mr. Kishore Maharjan,

distributed nutritious dairy products and other food items to children of the Nepal Children’s Organization (NCO), Naxal. In

addition to this the Bank fully sponsored food, boarding and tuition expenses of 3 orphans of Samaj Kalyan Bal Griha, Panchkhal.

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The sponsorship was funded through direct contribution of a day’s pay

from staff members of the Bank and matching contribution of this

amount from the Bank. The Bank intends to continue these types of

activities to help the disadvantaged and underprivileged and

contribute towards other worthy causes in the days to come.

Sponsorship of CAN Infotech 2012

Civil Bank Limited participated as the Official Bank in CAN Infotech 2012

organized by Computer Association of Nepal at Bhrikuti Mandap,

Kathmandu from January 26 to January 31. The event organized by

CAN aim to bring together national and international technological

solutions under a single umbrella for business, promotion, exhibition and transfer of knowledge. The Bank was the official

sponsor of the event.

Support to Nepal Squash Rackets Association

Civil Bank supported the Nepal Squash Rackets Association for successfully hosting the National Squash Tournament under the

6th National Games 2068 at the NSRA Academy, Satdobato. The event was held from 14th Falgun to 17th Falgun.

Joint Traffic Awareness Campaign

Civil Bank Limited as a part of its social responsibility contributed towards a traffic awareness campaign. Civil Bank assisted

Traffic Police Division, Durbar Marg in organizing a door-to-door awareness campaign to educate and inform people about

traffic regulations and safe driving techniques by distributing brochures.

Support to the initiative ‘My Blood Your Life’

As a responsible corporate citizen of the country, the Bank supported the blood donation program organized by Kipoo Luja

Club, Kirtipur under an initiative entitled “My Blood Your Life” held on 31st March, 2012 which aimed to ease the acute shortage

of blood for medical emergencies.

Preservation of Cultural Heritage

Civil Bank is dedicated to protect the culture and

heritage of the country. In this regard, the Bank

granted financial aid to Twa Bahal Sudhar Samiti,

Patan for renovation of temple premises. This included

aid for restoration of historic areas as well as for

ensuring ongoing public access and interaction by

visitors at the sites.

Besides the above, Civil Bank has wholly or partially sponsored events or items such as:

» “Commerce Industry Day 2068” organized by the Lalitpur Chamber of Commerce and Industry.

» 3rd KCM Girls on Wheels 2012 organized by Kathmandu College of Management (KCM).

» Sponsorship of the 5th NEFTA FILM Award from Terai Television.

» Sponsorship of T-Shirts for the Dakshin Barahi Shankadhar Youth Club.

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Civil Bank Interest Rates

Deposit Rates

Lending Rates*

*Conditions Apply

Type of Deposit (LCY) Minimum Balance % Per Annum

SAVINGS ACCOUNTS

Civil Bank Mero Bachat Khata Nil 8.00%

Civil Bank Kishor Bachat Khata NPR 1,000 8.25% Civil Bank Nari Bachat Khata NPR 1,000 8.25%

Civil Bank Ama Buwa Bachat Khata NPR 10,000 9.25%

Civil Bank Silver Saving Account NPR 10,000 9.00% Civil Bank Gold Saving Account NPR 50,000 10.00%

Civil Bank Sansthapak Bachat Khata NPR 50,000 10.00%

FIXED DEPOSITS

Civil Bank Nagarik Muddhati Patra NPR 100,000 11.00%

Civil Bank Time Deposit NPR 5,000,000 & Above

6 months 7.00% 9 – 12 months 8.00%

Civil Bank Fixed Deposit

NPR 10,000

30 days 8.00%

90 days 8.50%

1 year 10.50%

Type of Loan Prime Category (% p.a.) Others (% p.a.)

Demand Loan 14.00% 16.00%

Export Finance 13.50% 14.50%

Overdraft 15.00% 16.00% Term Loan 15.50% 16.50%

Short Term Pledge Loan 14.50% 16.00%

Importer's Loan 14.00% 15.00% Deprived Sector Loan 12.00% -

Land Development Loan 16.00% -

Housing Development Loan 15.50% - Margin Lending (against ordinary Shares of acceptable companies) 16.00% -

Other Loans 18.00% -

Type of Loan % p.a.

Civil Bank SME Loan

i. Term Loan 15.00%

ii. Working Capital Loan 14.50%

Loan against Bank Guarantee ( ECAI ) Rated Bank: 14.50 %

Loan against Government Bonds 14.00%

Loan against Civil FD Plus 3.00 % (min. 13.00 %)

Loan against FCY Deposits 13.00%

Bills Under LC Import

Upto 15 days

After 15 days

TR Rate +3.00% TR Rate +6.00%

Penalty Interest Current Account Debit Balance (Maximum Rate)

Plus 3.00% 23.00%

Type of Loan % p.a.

Civil Bank Home Loan (HL)

i. Upto 5 years 13.50% ii. Upto 10 years 14.00%

iii. Upto 15 years 14.50% iv. Upto 20 years 15.50%

v. Upto 25 years 16.00%

NOTE: For HL < 10.0 Million, 0.25% Rebate in Interest Rate

Civil Bank Hire Purchase Loan

i. Consumer Vehicle 14.00%

ii. Commercial Vehicle 16.00% iii. Heavy Equipment 16.00%

iv. Other Equipment 15.00%

Civil Bank Personal Mortgage Loan

i. Up to NPR 5 million 16.00%

ii. Above NPR 5 million 17.00%

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Risk Control Department of Civil Bank

Globally C re d it R is k make s up for more than 60% of total risk elements in Banks and Financial Institutions. Credit Risk is

simply defined as the potential that a Bank’s borrower or counterparty will fail to meet its obligations in accordance with agreed

terms due to the borrower being unwilling or unable to pay interest and/or repay the principal amount. The effective

management of Credit Risk is a critical component of a comprehensive approach to risk management and essential to the long-

term success of any Banking Organization. Keeping such facts into consideration the Bank has established the Risk Control

Department in order to identify, measure, monitor and control credit risk. The Department is headed by Mr. Suman Acharya.

The Risk Control Department focuses on activities related to Credit Risk management of the Bank. This Department has been

reviewing the credit proposals and ensuring compliance of credit proposals in accordance with the Credit Manual, Bank’s Credit

Policy Guideline (CPG) and Directives of Nepal Rastra Bank. In addition to this, the Department has exclusive responsibility of

handling all proposals related to Credit Function of the Bank which are proposed by Branches/Corporate Credit and is the

gateway for the credit proposals from the Branches/Corporate Credit to reach the competent authorities for regular limits as

well as one off basis proposals.

The Department has been acting as a supportive, policy advisory, compliance and monitoring unit (decisions limited to credit

cases only) of the Competent Authority to ensure that decision taken in the light of Bank policies, rules and regulations are

implemented. In addition to this, the Department is functioning as an internal advisory on the formulation of policies, rules and

regulations pertaining to credit operations of the Bank. Further it has also been keeping the management updated with

composition of Loan Portfolio and Sectoral Exposure.

Civil Bank in Figures (As of End of 3rd Quarter 2068/069)

10,656:

Number of Customers

6.46 Billion:

Total Lending in NPR

7.03 Billion:

Total Deposits in NPR

10.78 Million Operating

Profit in NPR

220:

Number of Civil Bank

Employees

20.04 Standing

Liquidity Ratio (%)

23.04 Liquidity Ratio

(%)

500 Million:

Total Investment in T-Bills (NPR)

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Human Resources Corner

Recent Joiners

In the three months (from Magh through Chaitra), there were 9 new faces in the Bank.

Ramita Shrestha Pujita Malla Ashish Bhandari Rahat Thapa Shristy Bhandary

(Main Branch) (Main Branch) (Main Branch) (Corporate Credit) (Head Office)

Kritagya Shrestha Abhishek Karki Sabitri Tandukar Dilli Ram Timilsina

(Information Technology) (Biratnagar Branch) (Sundhara Branch) (Arughat Branch)

BRANCH LOCATIONS Head Office/Main Branch Address: Classic Complex, Tindhara Road, Kamaladi, Kathmandu-31 Phone (P): 4169040, 4169030 | Fax (F): 4169038

Barhabise, Sindhupalchok P: 011-489283 / F: 011-489283

Dhading Besi, Dhading P: 010-521068 / F: 010-521069

Birgunj Branch, Parsa P: 051-529943 / F: 051-529746

Biratnagar, Morang P: 021-441041 / Fax: 021-441043

New Road, Kathmandu P: 01-4232291

Arughat, Gorkha P: 061-622688

Pokhara, Kaski P: 061-539767

Patan (Sundhara) P: 01-5548682

Melamchi, Sindhupalchok P: 9751042305

Bhairahawa, Rupendehi P: 071-521161 / F: 071-521160

Baneshwor Branch, Kathmandu (Upcoming)

Kirtipur Branch, Kathmandu (Upcoming)