CUSTOMER SERVICES PROVIDED BY BANK OF

KATHMANDU

A fIELD REPORT

Submitted By:

Sunil Kumar Mahato

Himalayan White House International College

Batch 2008-2012

PU Registration No: 034-2-2-00523-2008

Submitted to:

The Dean

Faculty of Management

Purbanchal University

Biratnagar, Nepal

Submitted In:

Partial fulfillment of the course requirement for the degree of

Bachelor of

Business Administration (BBA)

 March 31, 2011

ACKNOWLEDGMENT

This report has been prepared for the partial fulfillment of BBA course as
prescribed by

Purbanchal University in the subject area. This report provides precise and
up-to-date

Information on the services given by the Bank of Kathmandu to its

customers.

The quality of this report was greatly enhanced by the gracious guidance and
suggestion made

by Mr. Govinda Sethi ,Director of BBA/BLAS ,white house GSM and

Mr.Padmanath Tiwari . I

had selected this topic for my field report because I felt there was a great
need to conduct a

research on all the services and products provided by Bank of Kathmandu

since the quality of

service provided by an organization could make or break it in this ever-

changing Nepalese economy.
 EXECUTIVE SUMMARY

This report introduces the brief study of the consumer financing

services provided by the Bank of Kathmandu in which the scheme
provided to the customer and the requirement for the process of
the loan and to find out how much they are focused on customer
services are discussed. This report also cover general overview of
the organization and the different services provided to the
customers.

The study of report brief emphasizes different schemes of

consumer financing of bank of Kathmandu like loan and
Advances, Deposit products and various other services provided
by bank like Online banking, ATM cards, credit cards etc.

AS it has many branches all over the country, hence this study
will concentrate on the consumer financing and services provided
by bank of Kathmandu ltd in Kathmandu Branch. To overcome the
existing problem bank has to make their policies and structure
effective and efficient. To tackle the existing political problem of
bank has to ready for the changes and make the contingent of
polices.
 VIVA-VOCE SHEET

We have conducted the VIVA-VOCE examination of the field Report

presented by Mr. Sunil kumar Mahato entitled CUSTOMER SERVICER

PROVIDED BANK OF KATHMANDU and found the report to be the

independent work of the student and written according to the prescribed

format. We recommend the report to be accepted as partial fulfillment of the

requirement for the Degree of Bachelor of Business Administration.

VIVA-VOCE COMMITTEE

…………………..

Govinda Sethi

Program Director, Undergraduate

Padma Nath Tiwari

…………………
 RECOMMENDATION
This is to certify that the Field Report submitted by Mr. SUNIL KUMAR
MAHATO entitled CUSTOMER SERVICE PROVIDED BANK OF
KATHMANDU has been prepared and approved by the Department in the
prescribed format of faculty of management .This FIELD Report is forward for
evaluation.

……………………….
Padma Nath Tiwari

Supervisor

………………………………….

Govinda Sethi

Program Director, Undergraduate Studies

March, 2011
 TABLE of CONTEBTS

Chapter Contents page

1 Background of the study

Area of study
Objective of study
Scope of study
Methodology of study
Statement of problem

2 Qualitative ANALYSIS OF BANK OF

Kathmandu
Historical Background of study
Mission of study
Functional focus of the organization
Pest Analysis
Current status of Bank
Study Analysis
3 PRESENTATIONS AND ANALYSIS
Meaning of concept of loan

Meaning of Deposit Account

4 SUMMARY, CONCLUSIONS AND

RECCOMENDATIONS
Summary
Conclusions
Recommendations
 CHAPTER: I INTRODUCTION

Most people don’t normally get access of capital through equity Markets so
they would Normally get access to debt finance through the established
financial institutions including Banks, credit union, insurance companies, etc.
Set to facilitate the needs of the customers, Bank of Kathmandu has been
providing excellent customer services to overcome the fierce and
Competition stands upright in the competitive market of banking sector.

Consumer financing provides individual the necessary for personal ranging

from buying a house, buying a car , for foreign employment and for
educational purpose .Most of the people Now have awareness of the
advantage of financing. In addition, Bank of Kathmandu has been introducing
various deposit products and other services like safe lockers, ATMS, credit

cards etc as well. So many customers have been attracted long time back
but its Market was limited. But now as Many Banking institutions have
started the services of providing consumer loan, the competition has
increased.

To capture the market, Bank of Kathmandu has been making consumer

financing strategies. Bank of Kathmandu is committed to providing products
and services of the highest standard to customer by understanding the
requirements best to suiting the markets needs. Along with the widening of

the consumer financing market, many people are attracted towards the
services provided by the banking institutions. As consumer financing and
deposit services are useful to the customer with reasonable income, it seems
that consumer financing strategies should be overviewed .So, this study
overviews the consumer servicing strategies of Bank of Kathmandu.

Area of the study

This study is confined on the present practices of Bank of Kathmandu on
consumer servicing

.Different strategies for various consumers financing housing loan, car loan,
educational loan

Vehicle loan vehicle purchase loan and foreign employment are explored in
the study this study

Will also have to be familiar with the modern banking products like online
banking, ATM cards

and credit cards and various other deposit products introduced by Bank of
Kathmandu.

Objective of the study

This study has following objectives:

1. To analyze the consumer financing strategies of Bank of Kathmandu Ltd

 2. To find out the schemes provided to customers and to find out how much it
focuses on customer services.
3. To explore different facilities like online banking, ATM cards, credit cards etc.

Scope of the study

This study overviews the consumer product and services schemes, strategies and
various other facilities. Bank of Kathmandu has been providing consumer financing
in sector like Deposits, Loan and Advances, Credit ATMs, etc.

The main issue of the study is how Bank of Kathmandu is serving the customers in
consumer financing and what strategy and policy is adopted By BOK.As many
customers are attracted towards the different facilities of the organization, the
analysis of the

entire scheme is necessary. Hence, this report is prepared to analyze the consumer
financing strategies

schemes and services.

Area of the study

This study is confined on the present practices of Bank of Kathmandu on

consumer servicing. Different strategies for various consumer financing

housing loan, car loan, educational loan vehicle loan vehicle purchase loan

and foreign employment are explored in the study this study will also have to

be familiar with the modern banking products like online banking, ATM cards

and credit cards and various other deposit products introduced by Bank of

Kathmandu.
Research methodology:

Review of the consumer policy directives issued by Bank of Kathmandu and

the annual

Consumer financial statement for the current year is analyzed and visits the
homepage of bank of Kathmandu to take the most of information.

Statement of the problem

This study in concerned to know the services provided by the Bank of Kathmandu.
The problem mainly

Seeks to define the services in terms of providing the quality services to its
customer

The study gives the overview of the company, whether the company is able to
provide those

Services to its customer or not

CHAPTER: II QUALITATIVE ANALYSIS OF BANK OF

KATHMANDU

Historical background of the bank

BOK started its operation in March 1995 with the objectives to stimulate the

Nepalese economy and make take it to over heights. Bok also aims to facilitate the

nation’s economy and to become more competitive globally. To achieve these, Bok

has been focusing on its set objectives right from beginning. To highlight its

objectives:
. To contribute to the sustainable development of the nation by mobilizing domestic

saving and channeling them to productive areas.

. To use the least banking technology to provide better, reliable and efficient
services as a reasonable cost.

.To facilitates trade by making financial transaction easier, faster and more reliable
through relationship with foreign banks and money transfer agencies.

. To contribute to the overall social development of Nepal.

Vision of the organization

“To become a significant contributor to the economic development of Nepal by

distinguishing the bank as an efficient, competitive, safe and top –quality financial

institution.”

Mission statement of the bank

To offer financial services and becoming the “Bank choice “by dedicating to the

progress and growth of the institution for the community ,customers ,employees,

supervisors and stockholders by:

.Promoting economic growth and becoming a caring corporate citizen.

.providing excellent customer services by offering personalized quality products and

services.
. Inducing modern technologies of banking that adds value to customer services

.Enhancing shareholders value

.providing challenging career and learning opportunities for employees.

Functional focus of the organization

Services and facilitate provided by the Bank of Kathmandu

Debit card/ATM: Bank of Kathmandu Ltd. In order to facilitate the customers

financial transactions introduces BOK Debit card in association with SCT

Technologies PVT. Ltd. BOK Debit card enables you to make purchases of goods

and services at various merchant locations as well as cash withdrawal from ATMS

with access to your bank account. The customer can have easy access to their

nominated account maintained with Bank of Kathmandu Ltd. From any ATM location

that speeds to more than 50 ATM location .Further they can make purchase of

goods and services from more than 200 merchant locations through Point –of –sale

terminals.

Deposit products
Current Account: To suit every business need BOK has tailored made Current

account which rightly meets the customers need in today faced paced business.

With advanced technological features all their banking needs are well taken care of.

An account holder can have access to his /her from all Bok branches in just few

seconds.
Ladder Saving : Ladder Saving of Bok not just helps the customers to save money

but also helps the money now grow with competitive interest rate on daily balance.

This power packed account is well packaged with all the various banking services

.Interest can be earned up to 4.25% on daily balance in the saving scheme.

General saving: General saving offers competitive rate of interest on daily

balance.

Sajilo Bachat Yojana: To inculcate banking habits among customer Bok

introduced Sajilo Bachat kahata with minimum balance of just RS.1000. As the

name Sajilo Bachat Khata suggests, it has been easy,hassle-free and affordable to

general public . With Sajilo Bachat Khata,one have easy access to modern Banking

facilities like ATM ,Mobile banking services etc.

Jestha Lagani kosh : Bank of Kathmandu has introduced a special deposit

product jestha Lagani Koshi . The product has been developed with the view to

encourage saving habit and address the need of elderly citizen. JLK is ideal for

retirees or people of the age of 60 years and above. JLK not only offers attractive

rate of return (like fixed deposit) but also flexibility (like saving account). It is a flexi

–fixed deposit scheme wherein to this withdrawals as per pre-agreed terms are also

allowed Before the maturity period.

Griha Laxmi Bachat : Bok has introduced a new saving product targeted

especially for household /working women to offer them the best financial services

and the best banking practices. The main purpose of the product is to inculcate

women‘s saving habits.

Call Account: To manage large volume of surplus funds of a customer ‘s

organization ,he /she can open an operative Account call Account at Bank of

Kathmandu and can earn additional earning for his /her excess funds.

Fixed Deposit: Tenure ranging from seven days to over, fixed Deposit at Bank of

Kathmandu allows one to diversify his portfolio to best suit his investment plan.

Recurring Deposit: To build up on saving, Bok has introduced Recurring Saving

Scheme where in monthly equated deposit over a fixed period of time yields higher

returns.

Loans and Advances

Corporate Credit
Project Finance (Term Loan): Based on the validity of the project /proposal,

Term Loan to finance the long term financing need of a firm /company may be

made available. This loan is normally provided of 65%of the financing requirement

with a maximum tenure of 60 Months. Term could vary depending upon the need of

the project.

Working Capital finance: Based on the nature of a business /transaction,

various types of working capital facilities /loan may be also availed. Some of the

commonly offered products under this category are as follows.

Overdraft: This revolving /open term facility enables a firm /company to manage

their varying daily cash requirement.

Demand /short –term Loan (Trade finance): These facilities are normally

provided to support one-off or any particular short term transactions.

Trust Receipt/importers Loan (Trade finance): Majority of the business in

Nepal depend on imported items. Short Term trust Receipt Loans are the most

common /popular product available to finance such requirement.

Export Loan: Export loan facilitates to the exporters to process/collect stocks for

exports.

Business Credit
Trust Receipt /importer Loan (Trade finance): Majority of the business in Nepal

depend on imported items. Short Term Trust Receipt Loans are the most common

/popular product available to finance such requirement.

Other types of Business

Loan against Fixed Deposit: Loan against fixed deposit enables one to manage the

short term cash need without breaking the deposit.

Loan against Govt. Bond /1 st class Bank Guarantee: A low cost secured loan

product offered customers for managing their financing need.

Priority Sector Deprived sector Loan: By virtue of this product small entrepreneur

/individual may also available loan up to NPR2.5 million.

Retail Credit /Consumer Lending

Housing Loan: financing accommodation facility for individuals. Vehicle Loan:
BOK has made financing of vehicles realistic with simple processing, easy

installment and attractive interest rates.

Education Loan: To help create a better future, BOK finances student for their
studies inland and abroad.

Festivity Loan: BOK also finances individuals to meet their personal expenses
and social obligations such as marriages, barthabandh and other social celebration.

Furthermore, the bank also provides loans for medical treatment, vacations etc.

Foreign Employment Loan: It provides loan to eligible individual

recommended by various institutes or government to help them go abroad on a pre-

arranged employment through a recognized employment agencies.

Development Credit Unit(DCU): The goal of Development Credit is to

provide quality financial services to marginalized groups and poorer sections of

society through intermediaries e.g. Micro finance institutions ,Co-operatives,

financial intermediary Non Governmental organization ,Development Banks,

community Based Organization and other registered organizations.

Product of development Credit Unit

1. General Micro finance: This product has been devised for financing general
micro finance loans to clients through partner institutions involved in offering Micro

finance services. A micro finance loan is defined as loan used for various income

generating activities including limited to purchase if livestock, loans for mini grocery

stores, vegetable loans, etc. Non –income generating loans such as installing bio –

gas units shall also be availed but only with prior approval from Bank of Kathmandu.
2.Agriculture and forest Based product Loan : The product has been
devised to allow farmers, agricultural cooperatives, community forest users and

other registered institutions engaged in producing and processing agricultural and

forest based products to have access to finance for funding working capital

requirement, plantation expenditures and purchasing livestock and accessories.

3. Equipment finance: The product aims to finance the cost of equipment of

various purposes to individuals, groups and institutions operating Small and Medium

Enterprises with an objectives to raise income in rural and urban areas of Nepal.

4. Vehicle and Accessories finance: The product has been devised for

financing vehicles and vehicle related accessories to self- employed low income

earning entrepreneurs. Loans will be of a Hire Purchase and on an owner –driver

concept.

Electronic Fund Transfer

Swift Transfer: Bank of Kathmandu Limited offers fast and reliable money transfer

services via SWIFT. SWIFT stands for society for worldwide interbank financial

Telecommunication the secured network used for interbank financial transaction

and communication worldwide. You can receive remittances and be credited in your

Bank account virtually from anywhere around the globe. Similarly, you can transfer

money abroad through SWIFT transfer even without having any bank account with

the bank.
Demand Draft: You can buy/sell drafts drawn on /by different international banks at

Bank of Kathmandu. Bank of Kathmandu has strong foothold in the issuance U.S

Dollars and Indian Rupees Bank Drafts.

Traveler’s Cheque: You can purchase and sell travelers cheques at Bank of

Kathmandu Limited. Travelers cheque , easy and secured way to carry cash when

you r are on travel, can be bought from Bank of Kathmandu at competitive price.

Bank of Kathmandu sells American Express Travelers Cheque. Bank of Kathmandu is

only the bank in Nepal to provide charge free TC encashment for American express

Travelers Bank,. You can enjoy and benefited by charge free TC encashment.

Money Transfer Companies: With tremendous growth of Nepalese working abroad.

Bank of Kathmandu has tied up foreign Money Transfer companies setting up a

reliable time bound service, enabling inflow of foreign earnings to the country with

level of security. You can receive your remittances within few minutes of payment

instruction made through in alliance with foreign Money Transfer Companies. The

services are available from all Branches of bank of Kathmandu.

Other Services
Gift Cheque: BOK‘s gift cheques offer customer an essay method for arranging gift

for various social occasion. BOK gift cheques are suitable for all occasion and are

ideal for friends and family.

Cash Management: Bank of Kathmandu is one of the lending banks to provide

Cash Management service in Nepal. If you are in Export business engaged in

exports to various parts of India. Bank of Kathmandu can be your best business

partner in collecting your bills receivables more efficiently. You simply need enroll
for the service and provide detail of your customer that include names and address

of your remitters/business affiliates in India. Bank of Kathmandu will deliver your

export proceeds or payments to your account in a short span of time than normal

transaction time.

Safe Deposit Locker: The burden of having to worry about valuable possessions like

jewelry, important documents, etc can be eliminated by acquiring a Safe Deposit

Locker at Bank of Kathmandu.

Functional focus of the study

Every banking institution has the same function like acceptance of deposit,

providing loans and several of the facilities like online banking, ATM cards and

credit cards etc. Bank of Kathmandu has been providing consumer financing to

overcome the fierce competitions and to stand upright in banking industry.

PEST Analysis

PEST analysis stands for “Political, Economical, Social and Technological Analysis”

and describes a framework of macro –environmental factors used in the

environmental scanning component of strategic management. It is a part of

external analysis when conducting a strategic analysis or doing market research

and gives a certain overview of the different macro –environmental factors that the

company has to take into consideration. It is a useful strategic tool for

understanding market growth or decline, market positions, potential and direction

for operations.
Due to political instability, the BOK has not been able to introduce more attractive

financing strategies. The services have been limited to narrow market.

In this competitive world of banking sector, consumer servicing has the functional

area of the institutions and the people are also attracted towards the financing

scheme due to the advantage like easy installment schemes, low interest on loans

etc. AT present, the bank of Kathmandu has been serving wide range of customers.

The consumer financing strategies have been changing along with the time and the

preference of the customers.

Technology plays a vital role in the development of any sector. Likewise, the

technological pace of Bank of Kathmandu is moving along with the time. Bank of

Kathmandu has state-of –art technique appropriate and efficient management

information system (MIS) and high quality service.

Current Status of the Bank

Bank of Kathmandu has been one of the finest banking institutions among various

successful banks in Nepal. It has been maintaining its positions in providing the

facilities and as one of the hassle-free banking service provider. Bank of Kathmandu

is well known for its efficient Management information system (MIS) and has been

giving quality services to its customer through various schemes and options.

In providing consumer financing services, it has been successful because of its low

service charge and huge number of services it provides.

Personal documents like proof of citizenship, completed application, contact detail

of the applicant, etc are verified by the time of opening up an account. Similarly,

other criteria should be fulfilled as required by the bank.

There are factors which affect the bank’s activities which are listed below.

. Risk emanating from excessive competition.

. Risk from changes in government policies related to commercial bank.

. Risk from changes by the government of Nepal or Nepal Rastra Bank in

monetary and fiscal policy.

.Risk from movement of foreign exchanges rate.

.Risk from impacts of the global economic environment.

Study Analysis
Modern organization across the globe is facing challenges in their survival

strategies. This competition has crossed the path of banking sector as well. Many

banks are emerging in Nepal with different schemes and strategies. Online banking,

ATM cards, credit cards and different loan facilities are some of the attraction

provided by the bank to attract customer.

Bank of Kathmandu is one of the most banks in Kathmandu. It has been providing

different services to its customer for more than a decade. Services like consumer

financing and the loan and advances provided by the bank of Kathmandu are

considered some of the best services due to the options given by the bank.

Key findings
Some of the reasons behind the success of Bank of Kathmandu:

Good consumer financing strategies

Numerous schemes and options available to the customers to choose from

Addition of the other various facilities like online banking, ATM cards, gift Cheque,

safe locker, etc.

Chapter Summary
Consumer financing provides the access of capital required to the customer. Bank

of Kathmandu has been providing services like deposit, and loans and advances,

ATMS, etc to overcome the fierce competition in the banking industry all over Nepal.

In the present political situations of Nepal, a bank has to have flexible strategies to

tackle different problems that it may face which Bank of Kathmandu is capable

of .As the report is prepared on the basis of qualitative data, presentation and

analysis are done accordingly. Key findings of the study are overviewed in the next

cha
 CHAPTERIII: PRESENTATION AND

ANALYSIS

Meaning of concept of loan

A loan is a type of debt. Legally, a loan is a contractual promise between two parties

where one party, the creditor, aggress to provide a sum of money to a debtor ,who
promises to return the money to the creditor either in one lump sum or in parts over

a fixed periods in time. This agreement may include providing additional payments

of rental charges on the funds advanced to the debtor for the time the funds are in

the hands of the debtor interest.

Corporate and Business Loans: Notwithstanding sluggish market condition,

competition has been intensifying due to an increase in the number of financial

institutions. During the year, BOK has been able to advances loans to small medium

business and selected customers. This has been a major factor in successfully

building the portfolio in the market, which has limited long term financing

opportunities owing to the fragile security situation of the credits, which has aided

in the preservation of margins and profitability. In addition, it continues to

lead/manage some large syndicated loans, particularly those associated with the

hydropower, medicine and education sectors. This has made a positive contribution

to developing skills and confidence as well as providing stable sources of revenue.

Micro –Financing: During the year, BOK has financed pollution-free electric –three

wheelers driven by women, biogas units, herb distillation equipment, etc as in the

initiatives taken towards wholesale micro –credit activities. This has the potential of

making inroads in rural market, which are mainstay of Nepal economy, and also of

diversifying sources of income for the bank.

Consumer Financing: Most financial institutions emphasize credit to mitigate the

risk/competition and lower returns prevalent in corporate financing .BOK has been

advancing hire- purchase loans, housing loans, professional loans and personal. The

bank is also probably the first to advance foreign loans in collaboration with the

bank is also probably the first to advance foreign employment loans in collaboration
with the Government of Nepal. Based on this experience. BOK has syndicated

similar loans of other financial institutions during the year.

Loans and Advances of Bank of Kathmandu have increased by 35.62% during the

year as compared to the preceding year. Credit to small/medium business and

consumer financing have made the major contribution to this

Growth. Considering the state of the economy and the dearth of viable projects,

these have been considered to be better avenues for investment than the large-

value and low-yielding corporate sector.

Year Loans and Advance Percentage Increase (%)

2003/04 5,645,689,444
2004/05 5,912,579,472 4.70
2005/06 7,259,082,579 22.47
2006/07 9,399,327,617 29.48
2007/08 12,747,722,000 35.62
2008/09 13,478,258,000
2009/2010 17,478,245,000

Meaning and Concept of Deposit Account

A deposit is a current account at banking institution that allows money to be

deposited and withdrawn by the account holder, with the transaction and resulting

balance being recorded on the bank’s books. Some banks charge a fee for this

service while others may pay the customer interest on the funds deposited.

Offering an array of features, BOK‘s deposit base comprises of depositors ranging

from the general public to business houses, NGO, INGPs, diplomatic agencies and
institutional depositors. BOK’s tailor –made deposit facilities tend to meet their

customers need in today’s fast –paced for surplus funds, and make personal

banking convenient and efficient to suit their investment plans.

With a view to strengthening its stable deposit base, Bank of Kathmandu has

introduced the “Ladder saving” scheme during the year 2006. Similarly ,in order to

diversify the portfolio, New flexi –fixed deposit products ,Jestha Lagani kosh” and

recurring deposit schemes, “Kopila Bachat Yojana” and Mero Bachat Yojana” and

had also been introduced in the same the year. The product for common

people,”sajilo Bachat kahata” has gradually reduced reliance on expensive

inflexible and volatile deposits.

Backed by an increase of 27.80% Total Deposit has surpassed a figure of RS 15

billion during the year. Rise in the interest rate on Treasury Bills has had some

impact on the rates of deposits. Excess liquidity has efficient managed by investing

safe avenues.

YEAR Deposited Amount (RS) Percentage Increase (%)

2003/04 7,741,645,424

2004/05 8,975,780,968 15.94

2005/06 10,485,359,239 16.81

2006/07 12,388,927,294 18.15

2007/08 15,833,738,000 27.80

2008/2009 19,856,745,000

2009/2010 24,456,456,500
Chapter Summary
With the help of the final annual report and the homepage of Bank of Kathmandu,

the various services and schemes provided by the bank are overviewed and

presented. The data collected from the annual report is represented in figures

through which the impact of the services provided by the bank on the deposit made

or loan taken is seen.

CHAPTER: IV SUMMARY, CONCLUSIONS AND
RECOMMEDATIONS
Summary
In order to survive the tough competitions, BOK has to think of ways to attract more

customers than its arrivals. And one of the best ways to this by providing quality

services. This can be different scheme like low interest rate on loans, high interest

rates on deposit, etc.

Due to the political instability in Nepal, the bank has not been able to perform as

efficiently and effectively as it could have. Bank of Kathmandu is renowned for

effectively combining technology with management resulting in excellent outputs.

Bank of Kathmandu is committed to provide and service of the highest standard to

customer by understanding the requirement best suiting the market needs and its

activities revolve around deposit mobilization, advancement of various credits,

online banking including trade financing, inward and outward remittances and funds

and portfolio management.

The vision of bank is to become a significant contributor to the economic

development of Nepal by distinguishing the bank as efficient, competitive, safe and

top quality financial institution.

Bank of Kathmandu hopes to offer financial services and becoming the “Bank of

choice” by dedicating to the progress and growth of the institution for the

community, customers, employees, supervisors and stockholders.

The services provided by bank of Kathmandu are mainly deposits which include

schemes such as current account, saving account, general account, and other

account. Loans and advances consist of corporate and business loans such as term

loan, export loan, short term etc and consumer loan such as vehicle, education,

housing loan etc

Conclusions

Bank of Kathmandu has been providing the consumer services to its customer to

make their life easier.

BOK understands that people is financial need vary, so efforts are made to reach

out to as many

Customers as possible in as many ways as it can. BOK hopes to mobilize funds in an

optimal manner and

Provide new services that offer higher returns, strengthen the information system

for monitoring of

Funds and reducing risks on loans and investments and continue improvement in

service standards by

Capitalizing on the modern software used by the bank and continue customer

service program in

Order to achieve growth in the retail market.

Recommendations
The consumer financing services provided by Bank of Kathmandu are a little bit

complex compared to other banks like Nepal investment Bank, Siddhartha Bank,

Everest Bank etc. so it has to make the procedure more simply, say in acquiring a

safe deposit locker or ATM card, etc. interest rate and processing charge compared

to some of the other bank like Nepal Bank limited seemed higher in Bank of

Kathmandu.

To overcome the existing problem of Bank of Kathmandu, it has to make their

policies and structure more effective and efficient.

Due to the ever – changing political situation of Nepal, Bank of Kathmandu has to be

prepared for sudden changes and it has to come up with contingent policies when

needed.

In addition, the bank has to build up a sufficient cushion (provision) against possible

losses on loans, investment s, foreign exchange rates movement, etc. The bank has

to remain conscious of developing

Human resources in order to compete. Furthermore, the management should be

committed towards minimizing operational risks.

List of ABBREVIATIONS
BBA: Bachelor in Business Administration

GSM: Graduated school of management

BOK: Bank of Kathmandu

ATM: Automatic Teller Machine

PU: Purbanchal University

Reg No: Registration Number

MIS: Management information system

DCU: Development Credit unit

NRN: NON –Resident Nepali

 BIBLIOGRAPHY

www. wikipedia .org

www.bok.com.np
Bok 12th Report 2005-2006
Bok 13th Report 2006-2007
Bok 14th Report 2007-2008
Bok 15th Report 2008-2009
Bok 16th Report 2009-2010