DEPOSIT MOBILIZATION OF SANIMA BANK

Submitted By:
Pramila K.C.
Pinnacle College
Campus Roll No: 35
T.U Reg. No: 7–2–382–36–2019
Symbol No: 704550017

A project work Report

Submitted To:
The Faculty of Management
Tribhuvan University
Kathmandu

In partial fulfillment of the requirement for the degree of BACHELOR

OF BUSINESS STUDIES (B.B.S)

Lalitpur, Nepal

July, 2024
 DECLARATION

I hereby declare that the project work report entitled “Deposit

Mobilization of Sanima Bank,” submitted to the Faculty of
Management, Tribhuvan University, Kathmandu, is an original piece of
work completed under the supervision of Mr. Nirmal Tiwari, Faculty
Member, Pinnacle College, Lalitpur. It is submitted in partial fulfillment
of the requirements for the degree of Bachelor of Business Studies
(BBS). This project work report has not been submitted to any other
university or institution for the award of any degree or diploma.

ii
SUPERVISOR’S RECOMMENDATION

iii
ENDORSEMENT

iv
 ACKNOWLEDGEMENTS

The study entitled "DEPOSIT MOBILIZATION OF SANIMA BANK NEPAL

LIMITED" has been prepared to fulfill the partial requirements for the Degree of
Bachelor of Business Studies (BBS), Tribhuvan University, Nepal.

I would like to express my special thanks to everyone who has given their valuable
time and support in completing this project. I would also like to thank Pinnacle
College for providing me with the opportunity to accomplish this field work.
Through this field work, I had the chance to apply theoretical knowledge to the
real-world environment, gaining insights into different aspects of management.

With a deep sense of gratitude, I would like to acknowledge the encouragement

and guidance from my supervisor Mr. Nirmal Tiwari, friends, teachers, and other
associated members. Their support greatly contributed to the successful
completion of this project.

Pramila K.C.

July, 2024

v
 TABLE OF CONTENTS

DECLARATION ....................................................................................................................... ii

SUPERVISOR’S RECOMMENDATION ............................................................................... iii

ENDORSEMENT ................................................................................................................... iv

ACKNOWLEDGEMENTS ....................................................................................................... v

LIST OF TABLES ................................................................................................................. viii

LIST OF FIGURES ..................................................................................................................ix

ABBREVIATION ...................................................................................................................... x

1.1. Background of the study .......................................................................................... 1

1.2. Profile of Sanima bank .............................................................................................. 2

1.3. Objectives of the study .............................................................................................. 3

1.3.1. General objective................................................................................................. 3

1.3.2. Specific objectives ............................................................................................... 3

1.4. Rationale of the study................................................................................................ 3

1.5. Review of literature .................................................................................................... 3

1.5.1. Literature review ................................................................................................ 4

1.6. Research methodology ............................................................................................. 5

1.6.1. Research Design .................................................................................................. 5

1.6.2. Population and sample unit .......................................................................... 5

1.6.3. Types of data ......................................................................................................... 6

1.6.4. Data collection procedure .............................................................................. 6

1.6.5. Data processing.................................................................................................... 6

1.6.6. Tools and technique used ............................................................................... 7

1.7. Limitations ...................................................................................................................... 9

CHAPTER II- RESULTS AND ANALYSIS ............................................................................... 10

vi
 2.1. Data Presentation and Analysis of Results ................................................... 10

2.2. Findings .......................................................................................................................... 19

CHAPTER 3: SUMMERY AND CONCLUSION ..................................................................... 20

3.1. Summary of the report ........................................................................................... 20

3.2. Conclusion ..................................................................................................................... 21

REFERENCES .................................................................................................................................. 23

vii
 LIST OF TABLES

Table 1: Total deposit ................................................................................................................... 10

Table 2: Fixed Deposit toTotal Deposit ratio ....................................................................... 12
Table 3: Current deposit to total deposit ratio ................................................................... 13
Table 4: Saving deposit to total deposit ratio ...................................................................... 15
Table 5: Call deposit to total deposit ratio ........................................................................... 16
Table 6: Margin deposit to total deposit ratio..................................................................... 18

viii
 LIST OF FIGURES

Figure 1: Total Deposit ................................................................................................................. 11

Figure 2: Fixed Deposit to Total Deposit ratio .................................................................... 12
Figure 3: Current deposit to total deposit ratio ................................................................. 14
Figure 4: saving deposit to total deposit ratio .................................................................... 15
Figure 5: Call deposit to total deposit .................................................................................... 17
Figure 6: Margin deposit to total deposit ............................................................................. 18

ix
 ABBREVIATION

ABBS- Any Branch Banking System

ATM- Automated Teller Machine

FY- Fiscal Year

No.- Number

NRS- Nepali Rupee

S.N.- Serial Number

SBL- Sanima Bank Limited

SMS- Short Message Service

T.U- Tribhuvan University

x
CHAPTER I: INTRODUCTION

1.1. Background of the study

For the progress of a developing nation like Nepal, it's essential to advance all
sectors of the economy, including agriculture, trade, and industry. However,
substantial resources are required for the development of these sectors.
Unfortunately, countries like Nepal often face a shortage of capital for such
development activities. The government alone cannot manage and develop all
these sectors simultaneously, and the private sector also faces limitations in
investing in large businesses due to low per capita income and limited resources.
With low per capita income, savings are minimal, and capital formation is slow.

Therefore, banks play a crucial role in the economic development of these sectors.
Banks, as licensed financial institutions, accept deposits and provide various
financial services such as wealth management, currency exchange, and safe
deposit boxes. Their role in economic development involves addressing capital
deficiencies by encouraging savings and investment. A robust banking system
gathers the small and scattered savings of the community and channels them into
productive enterprises.

Deposit collection is a primary function of commercial banks. Deposits, which can

be interest-bearing or non-interest bearing, represent funds customers entrust to
the bank for saving and potential interest income. Deposits come in various forms,
including current accounts, savings accounts, fixed deposits, call deposits, and
margin deposits. Each type of deposit serves different needs, such as facilitating
frequent transactions, earning interest on savings, or locking in funds for a specific
period.

Among these deposit types, fixed and savings deposits are particularly suitable for
short-term investments with higher returns. Therefore, extensive and effective
mobilization of deposits in commercial banks can significantly contribute to the
country's economy. This report aims to provide general information on banking,

1
deposits, and the potential for deposit mobilization, with a focus on Sanima Bank
Limited.

1.2. Profile of Sanima bank

Sanima Bank, established in 2004 by prominent Non-Resident Nepalis (NRNs),

initially operated as a National Level Development Bank before transitioning to an
"A" Class Commercial Bank in February 2012. Located in Kathmandu, Nepal, at
'Alakapuri', Naxal, the bank holds a significant position in Nepal's banking sector,
having obtained its operating license from Nepal Rastra Bank.

With a focus on providing simplified banking and financial solutions while

prioritizing customer needs and enhancing stakeholder value, Sanima Bank aim
to offer comprehensive financial services across various customer segments. The
bank's mission is to achieve sustainable profitability in line with its risk tolerance.
Sanima Bank boasts an authorized capital of Rs. 15,000,000,000, issued capital of
Rs. 13,581,525,414, and a paid-up capital of Rs. 13,581,525,414. While the
majority of shares, fifty-one percent, are held by promoters, the remaining forty-
nine percent are publicly owned. The bank's service offerings include current
accounts, fixed accounts, savings accounts, loans, bank overdraft facilities, safe
deposit lockers, debit and credit card services, SMS banking, and ABBS banking.
With 105 full-fledged branches and 28 extension counter throughout Nepal,
Sanima Bank also provides charge-free ATM services through its network of 124
ATMs across the country. Recognizing its integral role in the economy, the bank
acknowledges its responsibility to contribute to society beyond its core banking
activities. Therefore, it endeavors to make a positive societal impact through
sustainable initiatives.

2
1.3. Objectives of the study

1.3.1. General objective

To study about the deposition of mobilization of Sanima Bank.

1.3.2. Specific objectives

To analyze deposit collection

To identify deposit position

To examine mobilization of deposits.

1.4. Rationale of the study

This research study addresses a significant gap in the examination of Sanima

Bank's deposit mobilization policy. It is poised to offer valuable insights to the
bank's policymakers and serve as a valuable reference for other commercial banks
in Nepal and the central bank, Nepal Rastra Bank, in devising suitable strategies.
By scrutinizing the investment policy and identifying its shortcomings, this study
plays a crucial role in informing the development of robust policies.

1.5. Review of literature

A review of the literature involves reviewing research papers or other pertinent

concept in a connected field of study. It is information gathered on the specific
study topic from numerous sources. A literature reviews objective is to present
what knowledge and theories have been developed on a topic in the past, as well
as their strength and limitation. To obtain the essential knowledge about the field
of the study, a researcher should read books, journals, research papers and other
published reports.

3
1.5.1. Literature review

In the last three years, there has been a slight decrease in deposits in commercial
bank due to decrease in interest rate in time deposit account. Banks' lending is of
course dependent on volume of deposits. Main source of fund for lending in banks
is deposits. In Nepal, around 94 percent of sources of fund is mobilized from public
and corporate deposits and remaining 6 percent from the shareholders equity.
Banks also earn money from interest they earn by lending out money to other
clients. The funds they lend comes from customer deposits. However, the interest
rate paid by the bank on the money they borrow is less than the rate charged on
the money they lend.(Maharjan, 2022)

An increment over total loan and advance as well as net profit would lead to an
increment over total deposit and vice-versa. The position of profitability in
commercial banks is satisfactory and found to be increasing per year. Similarly, the
effect of both net profit and loan and advance over total deposit mobilization is
significant and positive. Therefore, an effective mobilization of total deposit would
increase the profitability of commercial banks. However, loan and advance also
have positive effect on deposit mobilization of commercial banks which indicates
proper maintenance of loan and advance out of total deposit mobilization would
increase profitability of banks.(Upadhaya, 2021)

SBL has been successful to capture major market and customer in its more than
ten years of journey from Bikash Bank to Commercial Bank since its
establishment. SBL has been performing very well since its inspection. Today,
SBL provides highest interest rate on deposits to its customers than any other
commercial bank in Nepal. Its profit is increasing every year.(Baneswor & Raj
Pandey, 2015)

The commercial bank's deposit shows a fluctuating growth trend over the study
period. The volumes of deposits have a significant positive relationship with
bank lending, and they suggested that commercial banks should focus on
mobilizing more deposits as it will enhance their lending performance. (Bhari,
2023)

4
This bank is committed to provide one window financial solution to various
customer segments and to achieve a healthy level of growth in profitability,
consistent with the bank’s risk appetite. The bank has displayed dedication
towards main training the highest level of ethical standard, professional integrity,
corporate governance and regulatory compliance. Consequently, Sanima bank is
perceived as a strong and reliable player in banking. (Tamang S, 2023)

1.6. Research methodology

Research methodology encompasses the techniques, principles, and procedures

utilized in analyzing data and presenting it with meaningful insights. It outlines
the systematic approach followed by researchers in studying a problem with
specific objectives in mind.

1.6.1. Research Design

The research methodology entails a systematic and planned approach to solving

problems by collecting, analyzing, and interpreting data. This particular research
focuses on analyzing and mobilizing the deposit system of Sanima Bank. Its
primary objective is to assess the deposits and their utilization within Sanima
Bank. The study draws from various sources including the bank's annual reports,
library resources, classroom lectures, relevant articles, and online sources.
Employing a descriptive research design, the study utilizes historical data
spanning the last five years to evaluate Sanima Bank's performance.

1.6.2. Population and sample unit

Regarding the population and sample unit, this section outlines the research
method employed in the fieldwork assignment, aiming to provide foundational
knowledge of deposits and their operational procedures. Data and information
necessary for this purpose are gathered and presented within the report, drawing

5
from multiple sources such as articles, bulletins, publications, and thesis reports.
Among the 28 A-Class commercial banks certified by Nepal Rastra Bank, Sanima
Bank is chosen as the sample for this study.

1.6.3. Types of data

This study is based mainly on secondary data which was gathered through
published annual report, which included the balance sheet, income statement and
other items. This data was obtained, evaluated and analyzed correctly. These data
are mostly gathered from books, the internet, media, journals and other sources.

The study is based on secondary data. I have consulted different books and
past year’s report writing and collected the data for report .I have taken
the secondary data of Sanima bank from data sources available from
official site of Sanima bank.

1.6.4. Data collection procedure

Numerous articles, bulletins, prospectuses, and other relevant materials

pertaining to Sanima Bank were meticulously reviewed and examined.
Subsequently, the most crucial and pertinent data were selected and gathered.
Following the compilation of all necessary information, data processing ensued,
paving the way for the drafting of this field report.

1.6.5. Data processing

The gathered data undergo tabulation and organization into the necessary format
to facilitate sequential data analysis. Comparative bar diagrams and graphs are
utilized for data processing. Following this, a comprehensive review of all
collected secondary data is conducted, with significant information being
emphasized and recorded.

6
1.6.6. Tools and technique used

The collected and observed data are tabulated with necessary amount of each
head for analysis of the data different tools are used. These tools are as follows:

➢ Financial tools
➢ Statistical tools

1.6.6.1. Financial tools

Fixed deposit to total deposit ratio

The Fixed Deposit to Total Deposit Ratio reflects the proportion of high-interest-
bearing fixed deposits relative to the total deposits, indicating the bank's short-
term position. Fixed deposits, which yield higher interest rates, cannot be
withdrawn until maturity. A higher ratio suggests a greater emphasis on longer-
term deposits over short-term ones. This ratio is calculated by dividing the total
amount of fixed deposits by the total amount of deposits.

Fixed deposit to total deposit ratio= fixed deposit/Total deposit

Saving deposit to total deposit ratio

Similarly, the Saving Deposit to Total Deposit Ratio assesses the proportion of
total deposits that are short-term and interest-bearing. Saving deposits,
positioned between current and fixed deposits, are not as freely withdrawable as
current deposits. This ratio is calculated by dividing the total amount of saving
deposits by the total amount of deposits.

Saving deposit to total deposit ratio= saving deposit/Total deposit

7
Current deposit to total deposit ratio

The Current Deposit to Total Deposit Ratio is determined by dividing the total
amount of current deposits by the total amount of deposits. This ratio is expressed
as follows:

Current Deposit to Total Deposit Ratio = (Current Deposit / Total Deposit).

Margin Deposit to Total Deposit Ratio

Similarly, the Margin Deposit to Total Deposit Ratio is calculated by dividing the
total amount of margin and other deposits by the total amount of deposits. This
ratio is given by:

Margin to Total Deposit Ratio = (Margin Deposit / Total Deposit).

Call and Short Deposit to Total Deposit Ratio

Furthermore, the Call and Short Deposit to Total Deposit Ratio is computed by
dividing the total amount of call and short deposits by the total amount of deposits.
This ratio is represented as:

Call and Short Deposit to Total Deposit Ratio = (Call and Short Deposit / Total
Deposit).

Statistical Tools utilized for analysis include Bar Graphs, Data Tables, and Graphs.

8
1.7. Limitations

➢ The report offers a limited analysis of deposits in Sanima Bank, primarily

due to constraints such as the unavailability of current data and resources
within the given timeframe.
➢ It relies solely on information sourced from the bank and other secondary
sources. The scope of the report is confined to secondary data only and
encompasses a period of five years, spanning from 2014/15 to 2018/19.
➢ The study focuses exclusively on analyzing and mobilizing deposits within
Sanima Bank and does not delve into other aspects such as loans, capital
and size.

9
 CHAPTER II- RESULTS AND ANALYSIS

In this section, we present the data and provide interpretation, conducting a

thorough analysis to obtain the overall status of SBL using the financial tools
mentioned in previous sections.

Ratio analysis involves determining and interpreting numerical relationships

between figures in financial statements. Since individual accounting figures may
not carry significant meaning by themselves, they need to be analyzed in relation
to other figures to derive meaningful insights into the company's financial
performance.

2.1. Data Presentation and Analysis of Results

1. Total Deposit
The total deposit of SBL comprises Fixed Deposit, Current Deposit, Saving Deposit,
Call Deposit, Margin, and Other Deposits, where "Other Deposits" refer to deposits
collected from sources not mentioned above. Total deposit is calculated as the sum
of all deposit schemes, as shown in the table below:

Table 1: Total deposit

SN. FY Fixed Current Saving Call Margin and Total

deposit deposit deposit deposit other
deposit
1 2018/19 43347078 6106544 30977444 7891183 1051480 89373729

2 2019/20 58223243 7067330 32730414 8156875 1072340 107250202

3 2020/21 58260590 10662760 47380568 10341772 1780177 128425867

4 2021/22 87138549 10070967 42008551 16384455 1916013 157518535

5 2022/23 109658765 10022972 45607057 8727639 1728816 175745249

10
 200000000
180000000
160000000
140000000
120000000
NRS

100000000
80000000
60000000
40000000
20000000
0
2018/19 2019/20 2020/21 2021/22 2022/23
Fiscal year

Fixed deposit Current deposit Saving deposit

Call deposit Margin and other deposit Total

Figure 1: Total Deposit

Table 1 and Figure 1 illustrate the composition of deposits of Sanima Bank over
the last five years. The figures clearly show that the fixed deposit amount was
comparatively higher than the saving deposit, current and other deposits they
increased gradually from 2019/20 to 2022/23. Saving deposit does not have much
increment in 2018 and 2019. Among those years from 2018 to 2023 highest
increment in saving deposit was in 2020/21.

2. Fixed Deposit to Total Deposit Ratio

This ratio measures the percentage of fixed deposit to total deposit and is
calculated by dividing fixed deposit by total deposit. The table below shows the
fixed deposit to total deposit ratio:

11
Table 2: Fixed Deposit to Total Deposit ratio

SN. FY Fixed deposit Total deposit Ratio ( %)

1 2018/19 43347078 89373729 48.50

2 2019/20 58223243 107250202 54.29

3 2020/21 58260590 128425867 45.37

4 2021/22 87138549 157518535 55.32

5 2022/23 109658765 175745249 62.40

In NRS (000)

Source: annual report of Sanima Bank

70
62.4
60 54.29 55.32
48.5
50 45.37
Ratio (%)

40

30

20

10

0
2018/19 2019/20 2020/21 2021/22 2022/23
Fiscal year

Figure 2: Fixed Deposit to Total Deposit ratio

12
Table 2 and Figure 2 depict the ratio of fixed deposit to total deposit over the last
five years. Fixed deposit was 43347078000 which was 48.50 % of total deposit in
2018/19 and increased to 54.29 % in 2019/20. However, in 2020/21, the ratio
decreased to 45.37% of the total deposit. Subsequently, the ratio rapidly increased
from 55.32% in 2021/22 to 62.40% in 2022/23.

3. Current deposit to total deposit ratio

This ratio measures the percentage of current deposit to total deposit. This ratio
is calculated by dividing current deposit by total deposit. The following table
shows the current deposit to total deposit ratio.

Table 3: Current deposit to total deposit ratio

SN. FY Current deposit Total deposit Ratio (%)

1 2018/19 6106544 89373729 6.83

2 2019/20 7067330 107250202 6.59

3 2020/21 10662760 128425867 8.30

4 2021/22 10070967 157518535 6.39

5 2022/23 10022972 175745249 5.70

In NRS (000)

Source: annual report of Sanima Bank

13
 1.6 1.39
1.33
1.4 1.22
1.2 0.99 0.98
1

ratio(%)
0.8
0.6
0.4
0.2
0
2018/19 2019/20 2020/21 2021/22 2022/23
Fiscal Year

Figure 3: Current deposit to total deposit ratio

Table 3 and Figure 3 illustrate the proportion of current deposits compared to

total deposits over the past five years. In the latest recorded year, current deposits
amounted to Rs 6106544000 which was 6.83 % of total deposit. Specifically, in
2019/20, current deposits decreased by 6.59%. However, in 2020/21, there was
a significant 8.30% increase in the current deposit-to-total deposit ratio. Unlikely
the ratio was decreased by 6.39% in 2021/22. Similarly, in 2022/23, the ratio
reached 5.70% of the total deposit. These fluctuations indicate variability in
current deposits relative to total deposits compared to other types of deposits.

4. Saving deposit to total deposit ratio

This ratio measures the percentage of saving deposit to total deposit ratio. This
ratio is calculated by dividing saving deposit by total deposit. The following table
shows the saving deposit to total deposit ratio.

14
Table 4: Saving deposit to total deposit ratio

SN. FY Saving Total deposit Ratio (%)

deposit
1 2018/19 30977444 89373729 34.66

2 2019/20 32730414 107250202 30.52

3 2020/21 47380568 128425867 36.89

4 2021/22 42008551 157518535 26.67

5 2022/23 45607057 175745249 25.95

In NRS (000)

Source: annual report of Sanima Bank

1.6
1.39
1.33
1.4 1.22
1.2
0.99 0.98
1
ratio (%)

0.8
0.6
0.4
0.2
0
2018/19 2019/20 2020/21 2021/22 2022/23
Fiscal year

Figure 4: saving deposit to total deposit ratio

15
Table 4 and Figure 4 depict the proportion of savings deposits in relation to the
total deposits over the past five years. Savings deposits amounted to Rs
30977444000, constituting 34.66% of the total deposits. Specifically, in 2019/20,
savings deposits experienced a decreased of 30.52%. However, in 2020/21, the
ratio of savings deposits increased by 36.89% relative to the total deposits.
Furthermore, the total savings deposit ratio decreased from 26.67% in 2021/22
to 25.95% in 2022/23 relative to the total deposit ratio. This indicates fluctuations
in savings deposits downward in relation to the total deposits compared to other
types of deposits.

5. Call deposit to total deposit ratio

This ratio measures the percentage of call deposit to total deposit. This ratio is
calculated by dividing call deposit by total deposit. The following table shows the
call deposit to total deposit ratio.

Table 5: Call deposit to total deposit ratio

SN. FY Call deposit Total deposit Ratio (%)

1 2018/19 7891183 89373729 8.66
2 2019/20 8156875 107250202 7.61
3 2020/21 10341772 128425867 8.05
4 2021/22 16384455 157518535 10.40
5 2022/23 8727639 175745249 4.97
In NRS (000)

Source: annual report of Sanima Bank

16
 12
10.4
10
8.66
8.05
7.61
8

Ratio (%)
6 4.97

0
2018/19 2019/20 2020/21 2021/22 2022/23
fiscal year

Figure 5: Call deposit to total deposit

Table 5 and Figure 5 illustrate the proportion of call deposits compared to the total
deposits over the last five years. Call deposits amounted to Rs 7891183000,
constituting 8.66% of the total deposits. Specifically, in 2019/20, call deposits
experienced a decrease of 7.61%. However, in 2020/21, the ratio of call deposits
increased by 8.05% relative to the total deposits, continuing to increase to 10.40%
in 2021/22. There was a significant decrease to 4.97% in 2022/23 in the ratio of
total deposits. This demonstrates that call deposits have been continuously
fluctuating in relation to the total deposits compared to other types of deposits.

6. Margin deposit to total deposit ratio

This ratio measures the percentage of margin deposit to total deposit. This ratio is
calculated by dividing margin deposit by total deposit. The following table shows
the margin deposit to total deposit ratio.

17
Table 6: Margin deposit to total deposit ratio

SN. FY Margin and Total deposit Ratio (%)

other deposit
1 2018/19 1051480 89373729 1.33
2 2019/20 1072340 107250202 0.99
3 2020/21 1780177 128425867 1.39
4 2021/22 1916013 157518535 1.22
5 2022/23 1728816 175745249 0.98
In NRS (000)

1.6
1.39
1.33
1.4
1.22
1.2
0.99 0.98
1
Ratio (%)

0.8

0.6

0.4

0.2

0
2018/19 2019/20 2020/21 2021/22 2022/23
Fiscal year

Figure 6: Margin deposit to total deposit

Table 6 and Figure 6 depict the proportion of margin deposits relative to the total
deposits over the last five years. Margin deposits amounted to Rs 1051480,000,
constituting 1.33% of the total deposits. But there was decrease in margin
deposits in 2019/20 by 0.99%. However, in 2020/21, the ratio of call deposits
increased by 1.39% relative to the total deposits, but decreased to 1.22% in

18
2021/22 continuing it decreased to 0.98% in 2022/23 in relation to the total
deposits. This indicates that margin deposits have continuously increased in ratio
to the total deposits compared to other types of deposits.

2.2. Findings

Fix deposit has lowest ratio in 2020/21 but it has been increasing trend over and
current has been decreasing over some years. Likewise saving and other deposit
fluctuate trend all above the years.

Saving deposit showed increasing trend till 2020/21 and it has been decreased
from 2021/22 to 2022/23.

Call deposits has been drastically fluctuating over the years from 2018/19 to
2022/23.

Current deposit has been decreased till the 2019/20 and increased in 2020/21
and again has been decreased from 2021/22 to 2022/23.

Margin deposit has been increasing 2021/22 and started decreasing from there.

Total deposit all over the last five years shows the positive balance and has been
increasing upward. It shows the positive sign of economic growth.

Fix deposit has showed the higher value amount than other deposit all over the
fiscal year from 2018/19.

19
CHAPTER 3: SUMMERY AND CONCLUSION

3.1. Summary of the report

A bank is a financial intermediary that accepts deposits and channels those
deposits into lending activities. Banks are a fundamental component of the
financial system and active players in the financial market. A bank is an institution
that deals with money. It collects surplus funds from savers and lends them to
individuals or entities for productive purposes. This study has been conducted to
examine and evaluate the role played by Sanima Bank Limited in savings and
deposits. The financial statements from 2018/19 to 2022/23 have been analyzed
for this purpose. The study primarily uses secondary data, which has been
processed and comparatively analyzed.

From this study some points about the saving and deposit aspect of sanima bank
limited has to come to ligh. They are listed below:

The total deposit of sanima bank limited shows an increasing trend from the year
2018/19 to year 2022/23. The total deposit showed balance in year 2018/19 is
Rs. 89373729000 to the year 2022/23 it shows Rs. 175745249000. Total deposit
balance in final year .

Fixed deposit showed increasing balance from 2018/19 to 2022/23. The initial
amount in fixed deposit is Rs. 43347078000 and till the end it reaches Rs.
109658765000.

Current deposit showed and fluctuating balance from 2018/19 to 2022/13. The
initial amount in current deposit is Rs. 6106544000 and till the end it reaches to
Rs. 10022972000.

Saving deposit showed an increasing balance from in 2020/21 i.e. 47380568000

and was decreased in 2021/22. But again increased in 2022/23 i.e. 45607057000.

Call deposit shows an fluctuating balance from 2018/19 to 2022/23. The initial
amount in call deposit Rs. 7891183000 and till the end it reaches to Rs.
8727639000.

20
Margin and other deposit showed an increasing balance from 2018/19 to 2021/22
and decreased in 2022/23. The initial amount in margin and other deposit Rs.
1051480000 and was Rs. 1916013000 in 2021/22 but was 1728816000 in
2022/23.

3.2. Conclusion

Sanima Bank was established with the mission to offer simplified banking and
financial solutions focused on customer needs while enhancing stakeholder value.
The Bank aims to deliver comprehensive financial services to various customer
segments and achieve sustainable growth in profitability, aligned with its risk
appetite. Sanima Bank is dedicated to maintaining high ethical standards,
professional integrity, corporate governance, and regulatory compliance, earning
a reputation as a reliable player in the banking industry.

The Bank operates 105 branches and 28 extension counter across Nepal, providing
free ATM services through its 124 machines nationwide. It is actively exploring
alternative channels and plans to expand its branch network. Although Sanima
Bank's total deposits decreased in 2018/19, they have consistently increased
through 2022/23, indicating effective resource utilization by management.

By analyzing the fixed deposit it has been increasing trend over current and saving
deposit. Fix deposit has lowest ratio in 2020/21 but it has been increasing trend
over and current has been decreasing over some years. Likewise saving and other
deposit fluctuate trend all above the years.

Saving deposit showed increasing trend till 2020/21 and it has been decreased
from 2021/22 to 2022/23.

Call deposits has been drastically fluctuating over the years from 2018/19 to
2022/23.

Current deposit has been decreased till the 2019/20 and increased in 2020/21
and again has been decreased from 2021/22 to 2022/23.

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Margin deposit has been increasing 2021/22 and started decreasing from there.

Total deposit all over the last five years shows the positive balance and has been
increasing upward. It shows the positive sign of economic growth.

In conclusion, it is anticipated that Sanima Bank Limited will continue to improve,

increase its deposit base, invest in profitable sectors, contribute to the country's
economic development, and provide better services to its customers in the future.

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 REFERENCES

Adhikari, D.R & Pandey, D.L. (2012). Business research methods. Kathmandu: Ashmita Books
Publishers.

Baneswor, N., & Raj Pandey, D. (2015). INTERNSHIP REPORT ON SANIMA BANK LIMITED In
partial fulfillment of the requirements for the degree of Bachelor of Business Administration-
Banking and Insurance.

Bhari, M. (2023). Determinants of commercial banks’ lending in Nepal. 5(1), 109–116.

www.commercejournals.com

Bajracharya B.B (2008), “Business Statistics and Mathematics”. Kathmandu: M.K publishers and
Distributors.

Maharjan, S. (2022). DEPOSIT MOBILIZATION OF COMMERCIAL BANKS IN NEPAL.

Upadhaya, B. R. (2021). DEPOSIT MOBILIZATION OF COMMERCIAL BANKS IN NEPAL.

Tamang, S. (2023). DEPOSIT MOBILIZATION OF SANIMA BANK in partial fulfillment of

requirement for the degree of Bachelor in Business studies.

SBL (2018 – 2023). Annual report, Kathmandu: Sanima Bank Limited.

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