Profit of the commercial banks has increased in the first quarter of the current fiscal year 2010/11 compared to the same period last year. Unaudited financial reports of 23 banks show that they together made a net profit of Rs 3.08 billion in the first quarter of the running fiscal year. Among the banks that have published their quarterly reports, Rastriya Banijya Bank secures the top position by making a net profit of Rs 343.5 million. It is 7.66 per cent more compared to the corresponding period of the last fiscal year (2009/10). The bank’s expenditure for the staffers was reduced and extraordinary income increased this year to increase the profit. On the list of profit makers, Nepal Investment Bank Ltd grabs the second position with a profit of Rs 335.8 million. It is approximately 15 per cent more compared to the same period the previous year.
Nabil, Agriculture Development and Standard Chartered banks followed the Investment Bank in the list, respectively. In terms of percentage increase in profit, DCBL, NMB, KIST, Sunrise and Global lead the group. The banks that witnessed huge decline in profit in comparison to the corresponding period last year are Lumbini (66.48 %), NCC (43.49%) and NB (32.52%). Standard Chartered Bank also saw 4.74 per cent decline in profit this quarter. Non-operating expenses of Lumbini bank reached Rs 173.7 million in this quarter that was nil in the corresponding period of the previous fiscal year.  It was the main reason for Lumbini’s decline in profit. The non-operating expenses and forex exchange loss are the reasons for the decrease in NCC bank’s profits.