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Browsing Thesis & Dissertations by Author "Aashma Karki"

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    FINANCIAL PERFORMANCE ANALYSIS OF DEVELOPMENT BANKS IN NEPAL
    (Shanker Dev Campus, 2024) Aashma Karki; Dr. Pitri Raj Adhikari
    This study aims to find the Analysis of Financial Performance of Development Banks in Nepal. For this purpose, four banks are selected namely Muktinath Bikash Bank Limited, Jyoti Bikash Bank Limited, Garima Bikash Bank Limited, Kamana Sewa Bikash Bank Limited as a sample of the study during period 2013/14-2022/23. The secondary data are used to examine the analysis of financial performance of selected banks. The data used in this study are obtained from published annual reports and official websites of the sample banks, and NRB website. The tools used on the study are statistical tools, which are descriptive statistics, correlation coefficient and regression analysis. Return on assets and Return on equity are the selected dependent variables while credit risk, liquidity risk, operating expenses, capital adequacy ratio were the independent variables. The finding of the study show, the correlation analysis conducted in this dissertation there is strong and statistically significant negative correlations were found between Return on Assets (ROA) and Operating Cost as well as a notable negative correlation between Return on Equity (ROE) and Credit Risk. There are no statistically significant correlations between Return on Assets (ROA) and the examined variables, including Liquidity Risk, Capital Adequacy Ratio, and Credit Risk. Similarly, no statistically significant correlations were found between Return on Equity (ROE) and Liquidity Risk, Operating Cost, or Capital Adequacy Ratio, highlighting the unique significance of Credit Risk in impacting ROE. The regression analysis conducted in this study revealed that Return on Assets (ROA) does not exhibit statistically significant impacts from the examined variables, including Liquidity Risk, Capital Adequacy Ratio, and Credit Risk. This suggests that ROA's performance in Nepalese development banks is independently influenced, with Operating Cost having a prominent impact. Additionally, the regression analysis indicated that Return on Equity (ROE) is not significantly impacted by Liquidity Risk, credit risk and Capital Adequacy Ratio. There is significant positive impact of operating cost on return on equity of development banks in Nepal.