August 19, 2019 | Investopaper
Nepal Infrastructure Bank (NIB), the first private sector-led financial institution of the country has made its first investment worth Rs. 1.5 billion dollars. The bank has invested the whopping amount in Karuwa-Seti hydropower project. This 32 Megawatt project is based on Kaski district.
The 5.8 billion hydro-project is also being financed by other big banks like Himalayan Bank and Sanima Bank. They will be financing a total of Rs. 2.56 billion together and the promoter will be financing the remaining amount.
As informed by the officials of NIB, the bank is also considering investment in other five mega projects too. It is very close to signing an agreement with these projects. Likewise, the bank has several projects in the pipeline too. ” We will very soon sign investment pacts to construct a star rated hotel and another hydropower project.’, the official informed.
NIB has an authorized capital of Rs. 40 billion, issued capital of Rs. 20 billion and paid-up capital of Rs. 12 billion. The government holds a 10 percent investment proportion in the bank. It got operation license from NRB to conduct financial transactions on February 10.
Nepal Infrastructure Bank (NIB) was established with an objective to assist the infrastructure development of the nation by reducing the infrastructure financing gap by raising resources from the domestic and international market.