UKaid Sakchyam Partners with Sanima Bank to Strengthen Deprived Sector LendingNovember 14, 2016
September 29, Kathmandu – Sanima Bank Limited and UKaid Sakchyam Access to Finance Programme have launched a partnership to strengthen Deprived Sector Lending in 13 mid and far-western districts. The partnership will open a new Sanima branch in Kalikot district to cater to its deprived sector as the demand of Micro, Agriculture loan and SME loan is growing here. The programme districts are Jhapa, Dhading, Chitwan, Sunsari, Banke, Sankhuwasabha, Rupandehi, Makwanpur, Kailali, Dang, Surkhet, Kanchanpur and Kalikot.
The proposed Sanima Bank branch in Kalikot will work as a delivery channel to offer a wide range of products and services of the bank including several deposits and loan products. The bank will also deploy 21 staff who will be dedicated to work for the deprived sector through new and old branch offices.
Speaking at the event, Mr. Tej Bahadur Chand, Deputy CEO, Sanima Bank Limted said, “In Nepal, the micro loans offered by cooperatives are too small while A, B & C class BFIs offer high value loans with the need for more documents and collateral. Sanima Bank is already working with such market segments adopting this as a part of its core banking, and we look forward to serving more underserved segments.”
Mr. Baljit Vohra, Team Leader, UKaid Sakchyam said, “Sakchyam will support Sanima Bank to cater to the financial needs of communities whose financial requirements are unique and have not been served well by other BFIs by developing financial products with simplified terms and procedures. UKaid Sakchyam’s support to Sanima Bank is aligned with and will strengthen the Government of Nepal’s policy to improve deprived sector lending through BFIs.”
Mr. Balram Parajuli, Acting Executive Director (ED), Nepal Rastra Bank said, “Strengthening the deprived sector lending is not just a requirement of the regulating body but is also in the interest of the financial sector as a whole. Nepal Rastra Bank has always supported new initiatives to improve the financial sector and I am confident that this new initiative will play an important role in serving the needs of rural communities in the target districts.”