Nabil Leads Margin Lending as NRB Eases Credit Rules; Global IME, Kumari Follow
Nabil Bank tops margin lending among commercial banks, disbursing over Rs 15B, as NRB loosens credit limits and risk weights.
Kathmandu, July 16, 2025 — Nepal’s margin lending has seen notable growth following regulatory relaxation by Nepal Rastra Bank (NRB), with Nabil Bank leading the charge, having disbursed Rs 15.08 billion in share-backed loans by the end of Jestha, FY 2081/82.
According to data from NRB, total outstanding margin loans stood at Rs 128.67 billion, of which Rs 106.18 billion was issued by commercial banks. Among the 20 commercial banks, all except Standard Chartered are active in margin lending, with some even advertising their margin loan offerings amid sluggish credit demand in other sectors.
Nabil Bank’s margin loans account for 14.2% of the total extended by commercial banks. Global IME Bank follows with Rs 11.60 billion (10.93% share), while Kumari Bank ranks third with Rs 9.48 billion (9.93%).
Other major lenders include:
Siddhartha Bank: Rs 8.41B
Prime Commercial Bank: Rs 8.16B
Nepal Bank: Rs 7.72B
Citizens Bank: Rs 6.85B
Laxmi Sunrise Bank: Rs 6.16B
Rastriya Banijya Bank: Rs 6.00B
Smaller volumes were reported by Prabhu Bank, ADBL, SBI, Sanima, Everest, Himalayan, Machhapuchchhre, NIMB, NIC Asia, and NMB.
The expansion in margin lending follows progressive easing of limits under former NRB Governor Maha Prasad Adhikari. Initially, borrowers were capped at Rs 12 million per person across the system. This was later raised to Rs 150 million, with higher risk weights imposed. Eventually, institutional investors were exempted from lending caps altogether.
Under current Governor Dr. Bishwo Paudel, risk weights on margin loans above Rs 5 million were reduced from 150% to 100%, and individual loan caps increased to Rs 250 million, as per the recently announced Monetary Policy for FY 2082/83.
These regulatory shifts have led to a revival in share-backed credit flows, despite a still-volatile stock market.