Kathmandu. Customers of Himalayan Bank have been facing a lot of trouble for the past few days.
The bank’s software upgrade and data migration process has caused the service to be disrupted, causing continuous trouble to the customers. Most of the customers have been facing problems as the bank’s services have not been implemented for a long time.
Customers have expressed strong dissatisfaction with the bank, complaining that they have not been able to withdraw their hard-earned money. From social media to bank branches, there has been criticism that ‘Himalayan Bank has cheated’.
Internet banking and mobile banking services have come to a standstill due to frequent problems in the banking system. Security concerns have also increased due to this situation. Because experts have pointed out that even if the account is hacked when the system is broken, the customer will not be able to know.
Many customers have visited the bank’s branches to close their accounts, saying that the bank’s service is not reliable. Customers are also very disappointed in mobile banking. Although it was said some time ago that the service would be improved by upgrading the system, the service has not been restored and stable yet.
Overall, Himalayan Bank’s customers are fed up with the continuously broken system and mismanaged service management. Lately, the irregularities in Himalayan Bank have been increasing. This is confirmed by this current incident.
The board of directors of the bank is chaired by Prachanda Bahadur Shrestha and Ashok Shumsher Rana is the Chief Executive Officer (CEO) of the bank. Rana has been the CEO of Yes Bank for half a dozen times.
According to the provision of the Rastra Bank, a person cannot be the CEO of a bank financial institution for more than 2 terms.
The financial health of the bank is getting worse {
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Current fiscal year 2082. In the first quarter of March 2018, the net profit of Himalayan Bank declined by 3.24 percent to Rs 70.28 crore. The company had posted a net profit of Rs 72.64 crore in the same period last year.
In the first quarter of the last FY, the bank earned a net interest income of Rs 2.50 billion compared to Rs 2.50 billion in the same period of the current FY.
Similarly, operating profit declined to Rs 1.05 billion from Rs 1.81 billion in the review period. The distributable profit of the bank stood at Rs 7.54 billion as of mid-October.
The bank has a paid-up capital of Rs 22.58 billion and reserve fund of Rs 24.54 billion. The bank collected deposit of Rs 315.11 billion and extended loan of Rs 232.73 billion.
As of mid-October, the bank’s bad loans stood at 7.39 percent. It was 4.98 percent in the same period of the previous year. The bank has EPS of Rs 12.45 and net worth per share of Rs 177.63.
