Kathmandu, November 12: Nepal Clearing House Ltd. has concluded its 8th Annual General Meeting on Monday (Nov 11) at Hotel Crown Imperial in the capital. The AGM decided to increase the paid-up capital of the company to NRs. 298,080,000 from NRs. 216,000,000 through issuance of a 38% bonus share from the profit earned during the fiscal year 2075/76. It also decided to provide a 2% cash dividend to cover the tax provision. The authorized capital of the company has also been decided to increase to NRs. 500,000,000. The company booked a net profit of NRs. 237,735,786 for the fiscal year 2075/76.
The company intends to increase its capital to further re-invest into payment infrastructures, add new products & services and enhance risk management. As per NRB’s regulatory requirement, the payment system operator (PSO) needs to have a minimum of NRs 100,000,000 as paid-up capital for operations within Nepal, whereas it is NRs 250,000,000 for those handling international payments.
During the fiscal year 2075/76, the company processed a total of 11,755,072 cheques through the NCHL-ECC system; 4,931,950 transactions through NCHL-IPS system; and 186,041 transactions through connectIPS e-Payment system. The total settlement value of the transactions processed through NCHL systems during the fiscal year remained at NRs 9.2 Trillion. It handled daily average transactions of over 67,479 equivalent to NRs 36.85 Billions on daily settlement value. There are almost 80 banks & financial institutions as its direct members with access to over 5,003 bank branches within NCHL’s system network. NCHL has also enrolled over 22 non-bank institutions as indirect/technical members.
Nepal Clearing House Ltd. is a national clearinghouse jointly promoted by Nepal Rastra Bank (10%), banks & financial institutions (80%) and Smart Choice Technologies Ltd. (10%), to establish multiple national payments, clearing and settlement systems in Nepal. And it has been providing payment system infrastructure and facilitation to the BFIs, PSPs, PSOs, Govt/Semi-Govt. entities and other service providers.
