Google Business Group to host second edition of GBG BizFest & BizStart 2019

Google Business Group Kathmandu – a community of business professionals in Kathmandu – is hosting the second edition of GBG BizFest and Bizstart 2019, Nepal’s biggest startup meet and expo on December 28. GBG BizFest is the first and only of its kind technology and business exhibition in Nepal, claims the organiser. “This edition of the event is being organised in collaboration with Genese Software Solution, a cloud consulting company in Nepal,” it said, adding that the main objective of GBG BizFest 2019 is going to bring together entrepreneurs and startup-founders from around the country in a single platform. “In this expo, along with exhibiting products and services to their potential customers, startup founders of Nepal will get an opportunity to learn new strategies and expand their businesses with the Google’s technology.”
“GBG BizFest is an annual event happening in different countries throughout the world,” manager of GBG Kathmandu Amit Agrawal said speaking about the concept of organising the event. “We are excited to host this event for the second time in Nepal and bring all the emerging startups under one umbrella,” he said, adding that startup, in Nepal, is a very recent phenomenon. “We can see many startups emerging to solve various need gaps existing in our society but not many people know about the emerging Nepali startups and there are no such expos in Nepal that are focused on startups only.”
Also, it’s not possible for all recently founded startups to pay a heavy fee to exhibit in expos, he added. “Thus, GBG Kathmandu is taking an initiation to bring all major startups of Nepal in a single platform.”
Through GBG BizFest & Bizstart 2019, the organisers claim that they are trying to provide a free and open platform to connect with their potential customers.
More than 200+ startups, app developers and tech communities of Nepal are expected to participate in GBG BizFest 2019 to promote their products and services. Likewise, GBG Kathmandu is expecting to bring more than 10,000 visitors in the event. The first edition of the event was held in January 2019 and was participated by 120+ startups and 5,000+ visitors from across various parts of Nepal.
Along with the BizFest expo, the day will also see BizStart, a series of special tech-focused workshops delivered by experts in the industry. The participants will be given a hands-on opportunity to listen to leading individuals in the industry, who will talk about various topics, ranging from Google’s suite of tools of online marketing – including Google Analytics and Google Ads – to growth hacking in modern organizations.
To the delight of budding entrepreneurs in the country, the event will have a stall dedicated to Google My Business. Startups can get themselves enlisted in Google’s business ‘directory’, which can help them in two ways: Customers would be able to find the business and its details – such as location, working hours – much more conveniently and the startups’ websites would gain much more chances of appearing on the first page of Google Search Engine Results Page (SERPs), which would effectively mean that their website would get Search Engine Optimised (SEO) automatically.
The title sponsor for the startup fest is Genese Software Solution, Nepal’s first and only Consulting Partner of Amazon Web Services (AWS) and Google Cloud, and a partner for Microsoft, IBM, Nagios, VMware, Barracuda, TrendMicro, and Neo4j for Nepal. Likewise, ConnectIPS is the associate partner, NIC Asia is the banking partner, Turkish Airlines is the airlines partner, LBEF is the knowledge partner, WorldLink is the internet partner, Sparrow SMS is the SMS partner, and Pathao is the mobility partner. The event is powered by Google.

Swift under cyber attack, Nepali banks feel the heat

Some Nepali banks have become latest victim to hackers siphoning off millions of dollars by targeting the backbone of the world financial system, SWIFT. Though, account-holders need not worry as their deposits parked in the bank are safe, the international wire transfer has come under suspicion as the incidents have been repeatedly occurring across the globe.
SWIFT – Society for Worldwide Interbank Telecommunication – is a global financial messaging system that thousands of banks and commercial organisations across the world use to transfer billions of dollars every day. SWIFT claims that over 90 per cent of fund transfers in the world take place through SWIFT.
Though, other banks have also been suspected under attack, unidentified cyber criminals have reportedly hacked into the SWIFT system of NIC Asia Bank and stole money, exposing vulnerability in the information technology system of the banks in the country, according to the central bank that has confirmed the reported cyber theft which took place during the Tihar vacation – October 19 to October 21 – when all the banks and the central monetary authority remained closed.
After the request of the bank, the central bank has today sent a team to take stock of the situation. NIC Asia has also already requested the central bank to initiate the cancellation of transfer of funds with the central banks of other countries, where the money already have been transferred. Meanwhile, it has not been clear, how, where and how much money have been transferred from Nepali banks.
"We, however, have not been able to confirm the exact amount of money that has been illegally transferred through multiple small transactions via SWIFT,” central bank's deputy spokesperson Rajendra Pandit said, adding that the central bank has also written to international banks and central banks of different countries not to entertain transactions generated from NIC Asia.
Apartfrom NIC Asia Bank, Prabhu Bank, NMB Bank and Prime Commercial bank's SWIFT codes have also been suspected to have been hacked by unknown hackers by using malware in their system.
However, the attack on NIC Asia closely resembles the 'biggest-ever cyber heist' that took place in Bangladesh. In May 2016, cyber criminals had hacked into the computer of a Bangladeshi central bank official to make illegal payments via SWIFT. The criminals had sent messages to the New York Federal Reserve seeking to transfer nearly $1 billion from Bangladesh Bank’s account. Though, most of the transfers were blocked, about $81 million was sent to a bank in the Philippines.
In 2016 a Turkish hacking group 'Bozkurtlar' or 'Grey Wolves' had hacked two Nepali banks – Business Universal Development Bank and Sanima Bank – and Bangladeshi banks, Dutch-Bangla Bank, The City Bank, and Trust Bank run by Army Welfare Trust.
A US-based cyber security website databreachtoday.com had reported on May 13, 2016 that the stolen data was ‘apparently posted online’ on May 10 by the group Bozkurtlar.
According to the report, the same hacking group had leaked data tied to Qatar National Bank and UAE's InvestBank also.
A report prepared by the Russia-based computer security firm Kaspersky Lab had said international cyber criminals had attempted to attack financial institutions in Nepal using a malware called Carbanak.
According to the experts, the hackers normally exploit vulnerabilities in the systems of member banks, allowing them to gain control of the banks’ legitimate SWIFT credentials.
The hackers then use those credentials to send SWIFT funds transfer request to other banks, which, trusting the messages to be legitimate, then sent the funds to accounts controlled by them.
Lately, numbers of developed nations have been struggling to address cyber attack as it has posed serious threat to the global financial market.

ADB creates emergency trade finance facility for Nepal by expanding its Trade Finance Programme

Asian Development Bank (ADB) is expanding its Trade Finance Programme (TFP) in Nepal by an additional $40 million to help banks finance import of much needed goods to support reconstruction and immediate needs in response to the recent earthquake.        
"The emergency facility for Nepal will help remove financial constraints when companies approach their banks to import what they need for emergency assistance, rehabilitation and reconstruction," ADB’s head of Trade Finance Steven Beck said, adding that the impact of the facility can reach $80 million within a year, since trade finance is typically short term and can roll over in less than 180 days.
ADB’s Trade Finance Programme provides guarantees and loans through banks to support trade. The emergency Trade Finance Programme facility for Nepal will be implemented through four Nepali banks – Himalayan Bank, Nabil Bank, Nepal Investment Bank, and NIC Asia Bank – already participants in ADB’s Trade Finance Programme. The facility will prioritise imports of basic commodities – including food and medicine – and needs related to reconstruction, the ADB press note said.
Thousands have died following the earthquake and hundreds of thousands are unable to return home because buildings have collapsed and transport systems, including roads, are unusable. Over two-thirds of Nepal’s 75 districts are thought to have been affected by the earthquake. It will impose a huge economic toll on the country. Preliminary ADB estimates suggest that the economic growth in Nepal may decline to 4.2 per cent for the current fiscal year of 2014-15, compared to the March projection of 4.6 per cent.
ADB has established a Nepal Earthquake Response Team, which along with UN agencies and other development partners will assess the damage and long-term investment needs for reconstruction and rehabilitation.
Support for trade finance will add to the $3 million grant from the Asia-Pacific Disaster Response Fund that ADB is providing for relief efforts and the up to $200 million additional resources for projects in the first phase of rehabilitation.
The Trade Finance Programme helps fill market gaps for trade finance in developing Asia by providing guarantees and loans to banks to support trade. Backed by ADB’s AAA credit rating, the programme works with over 200 partner banks to provide companies throughout Asia and beyond with the financial support they need to engage in import and export activities.
Since 2009, the Trade Finance Programme has supported more than 6,000 small and medium-sized enterprises in about 10,000 transactions valued at over $20 billion in a wide range of sectors, from commodities and capital goods to medical supplies and consumer goods in the region’s most challenging markets.
ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members – 48 from the region. In 2014, ADB assistance totaled $22.9 billion, including cofinancing of $9.2 billion.

Global IME calls special AGM to finalise merger with Commerz and Trust

Global IME Bank has called special annual general meeting on March 4 to endorse the merger with Commerz and Trust Bank Nepal.

The special AGM scheduled to take in Birgunj will endorse the merger with Commerz and Trust Bank by ratifying Due Diligence Audit (DDA) report and finalise the share swap ratio, and convert more than 51 per cent of the bank’s promoter shares into ordinary shares.

The central bank had formally endorsed the merger plan of Global IME Bank and Commerz and Trust Bank, in December.

 The two commercial banks had signed merger agreement on November 10, 2013 and proposed the share swap ration at 100:65.
After the merger between Global IME Bank and Commerz and Trust Bank, it would be the second merger between the commercial banks as the first one was NIC Bank and Bank of Asia Nepal.

NIC Asia Bank bags 'Bank of the Year-Nepal 2013' award

NIC Asia Bank has received the prestigious ‘Bank of the Year 2013- Nepal’ award from The Banker -Financial Times Publication, London.

Director of the bank Lokmanya Golchha and chief executive Sashin Joshi received the Award trophy and Certificate of Merit at the ceremony held at the Hotel Intercontinental, Park Lane, London yesterday.

The judging panel from The Banker magazine chose NIC Asia Bank as the winner of Bank of the Year in Nepal.
‘Bank of the Year ’ is the world’s longest running international banking title that is a testament to the strong management, sound business model and prudent risk approach of the winner Bank.

Earlier, NIC Bank was also awarded with Bank of the Year-Nepal in 2007.

The award was announced by The Banker during its annual award hosting ceremony, where most of the winning banks from 130 countries across the globe were present. The award was announced and presented by the Editors of The Banker Magazine and Michael Buerk-former BBC Correspondent.

Formed after the merger of two class 'A' commercial banks, NIC Asia Bank is now amongst the largest private sector commercial banks in the country in terms of capital base, balance-sheet size, branch/ATM network, customer base and employees.

The bank now has 53 branches and 50 ATMs which is being expanded to a total of 66 branches within one year.

NIC Asia Bank comes into operation

The first merged entity between two commercial banks NIC Bank and Bank of Asia Nepal – NIC Asia Bank – came into operation from today.

The merger between two class ‘A’ financial institutions in the history of the banking system has created an entity with a paid up capital of Rs 2.31 billion, though, its capital base – including reserve and retained earnings – is around Rs 5 billion.

“After a merger, NIC Asia Bank has now become a systemically important bank in the financial system due to its size,” central bank governor Dr Yubaraj Khatiwada said during the inauguration, here today.
The bank has also become a trendsetter in terms of merger between big institutions, he said, adding that mergers are meant to make the merged entity more competitive and able to run cost-effectively. “Its better for the banks and financial institutions, and they should not feel like they are merging for the central bank.”
The financial institutions should not keep on demanding more facilities to get merged, as merger itself provides opportunities for their own business expansion, Dr Khatiwada added. “Merger of banks and financial institutions are not like a cement industry in Souther part of Nepal that seek more benefit from the government.”
The governor, on the occasion, also informed that the time has come for the banks to increase their capital further. “Though higher capital does not guarantee better performance, it gives banks cushion and confidence.”
NIC Bank and Bank of Asia, which had started the merger procedure in May 2012, were granted Letter of Intent (LoI) for merger by the central bank on July 23, 2012.
The Office of Company Registrar granted the final approval for the two banks to merge on May 14.
Following the merger, NIC Asia Bank now has more than 270,000 customers with deposits worth Rs 38 billion and loans worth Rs 33 billion with 53 branches.
The central bank has been suggesting the banks and financial institutions to get merged if they have common directors and promoters.

“Though, the centran bank doesnot force them to merge, we suggest them to merge also for the financial stability,” Dr Khatiwada said.
The chief executive of the merged entity NIC Asia Bank Sashin Joshi said that the merger was not an easy process. “However, provided better facilities like tax breaks and clear legal provisions, mergers will be more attractive,” he said, adding that better legal arrangements will also facilitate acquisition. “The financial sector would see more acquisitions, if the central bank would bring Acquisition law," said Joshi, who was the chief executive of NIC Bank.
He also believed that the Nepal Stock Exchange (Nepse) that had halted trading of their shares due to the merger process since the last one year will resume the trading of the new NIC Asia Bank soon.
Shareholders of Bank of Asia Nepal will be issued new share certificates equivalent to one share of NIC Asia Bank for two shares of Bank of Asia Nepal as the due diligence audit of the banks had determined 1:2 share swap ratio between NIC Bank and Bank of Asia Nepal.
Coordinator of the Joint Merger Committee Rajendra Aryal, on the occasion, thanked for the support during the merger process of the two commercial banks.

NIC Asia Bank to be operational within this fiscal year

The proposed NIC Asia Bank is expected to come into operations within this fiscal year.
The first merger of two commercial banks — NIC Bank and Bank of Asia Nepal — have been approved by their respective annual general meetings held separately in Biratnagar and Kathmandu today but is subject to the regulator's final approval, which might take a couple of months.
"The integration process of the two banks will start soon after the central bank gives the final approval," said chief executive of NIC Bank Sashin Joshi. "Nepal Rastra Bank — the regulator — had erlier given Letter of Intent (LoI) for the merger of two commercial banks."
The proposed NIC Asia Bank will pave the way for merger between other commercial banks.
The joint merger committee will send today's annual general meetings minutes to the Nepal Rastra Bank within seven days, he added.
The NIC Bank’s 15th AGM held in Biratnagar has approved the merger of Bank of Asia with NIC Bank with a share swap ratio of 2:1, which means existing two shares of Bank of Asia Nepal will be converted to one share in the merged entity. Likewise the fifth AGM of Bank of Asia Nepal in Kathmandu has also approved the proposal today.
The proposed NIC Asia Bank will have an authorised capital of Rs 3.6 billion and paid up capital of Rs 2.31 billion after the merger. Similarly, Jagdish Prasad Agrawal and Sashin Joshi will continue as chairman and chief executive of the proposed NIC Asia Bank as they are currently chairman and chief executive of NIC Bank.
The board of the proposed NIC Asia Bank will have three promoters from NIC Bank, two from Bank of Asia, three from public and one independent expert director.
"The merger will be a historic event in the banking sector in the country as the first merger of two commercial banks," Joshi said, adding that the merged entity — NIC Asia Bank — will be amongst the five largest private sector banks in the country with a balance-sheet size of close to Rs 50 billion and a network of 65 branches and 59 ATMs spread from Mechi in the east to Mahakali in the far west of the country.
Earlier, the boards of both class A commercial banks had already passed the merger and share swap ratio proposal and has forwarded it to the annual general meetings for shareholders approval, according to the listed companies regulation.
Meanwhile, the annual general meeting of NIC bank today also approved a cash dividend of Rs 25 per share from the profits of last fiscal year 2011-12 subject to approval of Nepal Rastra Bank. By the fiscal year-end NIC bank had collected deposit worth Rs 22.1 billion, floated loan worth Rs 17.2 billion and posted profit of Rs 392 million, it added.
Current public directors Rajendra Prasad Aryal and Birendra Kumar Shanghai were also elected unanimously for another term by the NIC Bank annual general meeting today.


Merged Prudential starts operations
KATHMANDU: Prudential Finance has started its operations as a merged finance company between Prudential Finance and Gorkha Finance from Monday. Deputy governor of Nepal Rastra Bank Maha Prasad Adhikari inaugurated the merged entity 'Prudential Finance' in the valley on Monday. The merged finance company has a share capital of Rs 483.1 million, collected Rs 986 million worth deposit and has floated loans worth Rs 930 million, said the chairman of Prudential Finance Manoranjan Raman Sharma. Ajay Kumar Mishra is the chief executive of the merged finance company.