Meaning of Bank

Bank 

Banking in Nepal

Bank is an institution which deals in money, receiving it on deposit from customers, honoring customers’ drawings against such deposit on demand. In present scenario various types of banks are established for different purposes like industrial bank, development bank, agricultural bank, commercial bank, joint stock bank, cooperative bank etc. modern banking are more advance than the old banking. In other words, bank is the financial institution licensed to receive deposits and make loans, it may also provide financial services like fund management, currency exchange, locker facility, digital banking services.

In most countries, banks are regulated by the national government  or  central bank. In Nepal, Nepal Rastra Bank is a regulatory body of Banks and Financial institution. Is is the established authorized by a government to accept deposit, make payment, clear cheque, make loans, act as an intermediary in financial transaction and provide other financial services to its customers. In Nepal, Nepal Bank Ltd (NBL) started to provide banking services to customer in 1994 BS which was the milestone in the history of Nepal. There are currently 28 commercial banks in Nepal and it may reduce after merger of banks.
Category of Banks in Nepal
a) Commercial Bank= A Class
b) Development Bank= B Class
c) Finance Company= C Class
d) Micro Finance Company= D Class