Commercial banks have ramped up their investments in the real estate sector. According to Nepal Rastra Bank’s data, 20 commercial banks disbursed over Rs 225 billion in real estate loans during the first four months of the current fiscal year. This marks a 6.65% increase compared to the same period in the previous fiscal year, when they disbursed Rs 211 billion in real estate loans.
NIC Asia Bank topped the list of lenders, disbursing Rs 27.21 billion in real estate loans during the period. However, this figure represents a 9% decrease from the Rs 29.93 billion the bank disbursed in the same period last year.
Nepal Investment Mega Bank ranked second, with real estate loans totaling Rs 24.74 billion in the first four months of the current fiscal year.
While five commercial banks reduced their real estate loan disbursements this year, 15 banks increased their investments. Kumari Bank showed the most significant growth, increasing its real estate loan disbursements by 158%. The bank disbursed over Rs 3.78 billion in real estate loans in the first four months of the fiscal year, compared to Rs 1.46 billion during the same period last year.