i

ACKNOWLEDGEMENT

This project report is basically prepared to meet the partial fulfillment of the requirement
for the degree of Bachelor of Business Studies under the subject. This helps to gain
practical knowledge about management sectors. While preparing this report, many people
have assisted me in different application. So, I would like to extend by gratitude to all
those who helped me directly or indirectly to prepare this report.

I would like to gratitude especially to the Mr. Khimananda Bhandari, Supervisor of

this report for his admirable guidelines and Mr.Hari Bahadur Khatri, Campus Chief of
Resunga Multiple Campus. I would like to thank my respected all teachers who had taken
orientation class and generated ideas for us.

Further I would like to thanks to all staffs of Fewa Bikas Bank Limited, Gulmi for
providing me the necessary data and co-operated me by providing available information
and suggestion. Thanks are also due to large number of offices and friends and well-
wishers who provided invaluable cooperation in my efforts I wish to express the sincerest
thanks to all of them.

Last but not least, I am thankful to all my friends and family for their kind support and
also like to express my gratitude to all of my friend as well as librarians who
accompanied my field work.

Maya
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ABSTRACT

A bank is a financial institution and a financial intermediary that accepts deposits and
channels those deposits into lending activities, either or through capital markets. A bank
connects customers that have capita deficits to customers with capital surpluses. The
development of any country largely depends upon its financial as well as economic
development. The primary goal of any nation, including Nepal, is rapid economic
development to promote the welfare of the people and the national as well. Nepal, being
listed amongst the least development country, is trying to embark upon the path of
economic development by economic development by economic growth and developing
all sectors of the economic. The process of economic development depends upon various
factors; however, economists are now convinced that capital formation and its proper
utilization play a paramount role in rapid economic development. In every aspect, all the
deposit funds become non- productive unless they are financed or invested in the market.

Fewa Bikas Bank Limited (FBBL) is a National Level Development Bank after the
successful merger of former Bishwa Bikash Bank Limited and Fewa Finance Limited.
It’s Head Office is located at Chipledhunga, Pokhara, Kaski, Nepal. The Bank has been
registered under the Company Act 2063 (Bikram Era) with a mandate to operate as a
Development Bank within the framework of Bank & Financial Institution Act 2063
(Bikram Era)

Fewa Bikas Bank has been able to gain significant trust of the customers and all other
stakeholders to become one of the most promising commercial banks in the country in
less than 10 years of its operation. The Bank is fully committed towards customer
satisfaction. The range and scope of modern banking products and services the Bank has
been providing is an example to its commitment towards customer satisfaction. It is this
commitment that has helped the Bank register quantum growth every year. And the Bank
is confident and hopeful that it will be able to retain this trust and move even further
towards its mission of becoming one of the leading banks of the industry.
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TABLE OF CONTENT
PAGE NO.

Acknowledgement i
Abstract ii
Table of Contents iii
List of Tables v
List of Figure vi
List of Abbreviation vii
CHAPTER I: INTRODUCTION 1-5
1.1 Background of the Study 1
1.2 Introduction of Fewa Bikas Bank Limited 2
1.3 Objectives of the Study 3
1.4 Statement of the Problem 4
1.5 Significance of the Study 4
1.6 Limitations of the Study 5
CHAPTER II: LITRATURE REVIEW AND RESEARCH GAP 6-8

CHAPTER III : RESEARCH METHODOLOGY 9-10

3.1 Research Design 9

3.2 Data Collection Procedure 9
3.3 Data Presentation and Analysis Tools 10
CHAPTER IV : DATA ANALYSIS AND PRESENTATION 11-21
4.1 Introduction 11
4.2 Financial Analysis 11
4.3 Lending Efficiency Ratios 14
4.4 Statistical Analysis 16
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4.4.1 Measuring correlation between different variables 16

4.4.2 Trend Analysis 19

CHAPTER: V SUMMERY AND CONCLUSION 22-24

5.1 Summary 22
5.2 Conclusion 23
5.3 Recommendation 24
BIBLOGRAPHY 25
APPENDIX 26-31
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List of Tables
Table No. Titles Page No.

1. Loan and Advances to Total Deposit Ratios 12

2. Deposit Position of FBBL 13

3. Interest Income to Interest Expenses Ratio 14

4. Net Profit of FBBL 15

5. Trend Analysis for Total Deposit 19

6. Trend Analysis for Loan and Advances 20

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Figure No. Titles Page No.

1. Loan and advances to total deposit ratio 12

2. Deposit Position of FBBL 13

3. Interest Income to Interest Expenses Ratio 14

4. Net Profit of FBBL 15

5. Trend Analysis of Total Deposit 20

6. Trend Analysis of Loan and Advances 21

List of Figures
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LIST OF ABBREVIATIONS

FBBL Fewa Bikas Bank Limited

FY Fiscal Year

NRB Nepal Rastra Bank

i.e. That is

BBS Bachelor of Business Studies

Rs. Rupees

r Coefficient of correlation

e.g. For Example

Ltd. Limited

No. Number

TU Tribhuvan University

Amt Amount