BUSINESS & ECONOMY

Share market getting hotter

-By A Staff Reporter

After a long time, the Nepalese share market is once again getting hotter. The reason: once again a newly established private sector bank is floating its share starting from tomorrow.

The history of Nepal Stock Exchange Ltd. (NEPSE) shows that banking scrips are always profitable for investment. As such, large number of Nepalese investors, both big and small, are eagerly awaiting for the day when Nepal Industrial and Commercial Bank Ltd. (NIC bank) will float its shares.

Starting from Thursday, the bank is issuing total of 1.75 million pieces of shares worth almost Rs. 175 million to the general public as well as to its employees. For this purpose, it has selected Nepal Merchant Banking and Finance Limited and NIDC Capital Markets Limited as issue and marketing manager.

The NIC Bank was established on July 1998 under the Commercial Banking Act 2031 with an authorized capital of Rs. 250 million and paid-up capital of Rs. 81.25 million. “The bank has established its head office in Biratnagar with a view to provide comprehensive banking services of international standards in the region,” Jagadish Prasad Agrawal, chairman of the bank, said.

In a press briefing programme organized on the eve of public issuance of the shares the chairman of the bank also informed that the bank has been promoted by reputed local industrialists and businessmen who have set a success history in their field of business.

“Unlike other joint venture banks, NIC bank is being looked after by indigenous management team of eminent and experienced bankers,” a press release issued on the occasion said.

Within eight months of coming into operation, it was successful in opening its second branch in Dharan, where it received tremendous support and confidence of its customers. Realising it, the bank has raised its authorised capital to Rs. 1,000 million and paid-up capital to Rs. 500 million.

The bank has also established a branch at New Road, Kathmandu and very recently the 4th branch at Birtamod. Within the short period of its operation the bank has made operating profit of Rs. 6.44 millioin as of November 16, 1999.

The shares to be floated by the NIC bank are also all underwritten by various other banks and financial institutions.

The promoters of the Bank are Jagadish Prasad Agrawal, Lokmanya Golcha, Basudev Golyan, Subhas Chandra Sanghai, Tulasi Ram Agrawal, Nirmal Kumar Agrawal and Rastriya Banijya Bank. The promoters have fully subscribed their quota quite a long time ago, in the issued and paid-up capital of the Bank.

Gurkha welfare pension increased

-By A Staff Reporter

On behalf of General Sir Sam Cowan, chairman of the UK-based Gurkha Welfare Trust, Brigadier S. M. A. Lee announced a raise in the welfare pension of the British Gurkha pensioners.

The welfare pension will be increased from Rs. 1,200 to Rs. 2,000 per month from January 1, 2000. Brigadier Lee informed this while speaking on the occasion of the opening ceremony of the Gurkha Welfare Scheme’s newly-built headquarters in Pokhara.

Gurkha Welfare Scheme runs vocational school to train children of ex-British Army soldiers.

The decision to increase the pension was taken by the Trustees of the Gurkha Welfare Trust at its meeting held in November.

The newly constructed headquarters in Pokhara was named “The Patterson Building”, after Major General A. G. Patterson, who as major general of the Gurkhas from 1967 to 1969 envisioned the establishment of the Gurkha Welfare Scheme.

The Gurkha Welfare Scheme presently is the field arm of four separate fund raising charities based in the UK, the USA, Canada and Hong Kong, all of which raise money for the Scheme.

“Fund raising has increased substantially from one million sterling in 1970 to 4.3 million sterling presently,” Brig. Lee informed. He also added that due to this, the Scheme’s ability to provide professional community aid to ex-servicemen communities in the hills of Nepal had also improved substantially.

In the last ten years the activities of individual aid has also increased from 459,000 sterling to 2.04 million sterling, community aid from 376,000 sterling to 1.57 million sterling.

Similarly, the umber of individual pensioners have increased from 1,960 in 1989 to 11,565 in 1999. Furthermore, the number of individuals receiving medical treatment has increased from 61,552 in 1994 to 66,628 in 1999. Education scholarships has also increased to 857 students presently from 406 in the past.

The Scheme was initiated in 1969 with an objective of alleviating the hardship and distress among the Gurkha ex-servicemen and their dependents by providing aid to individual and their communities in Nepal.

Coffee and cakes

-By A Staff Reporter

Coffee connoisseurs now have a place to go to.  That distinct aroma of fresh coffee seeds titillates your senses as soon as you enter its cosy setting.  You can enjoy their home baked cookies that today are the best in town along with a variety of coffee preparations. They are not frightfully expensive and guess what, you will actually be promoting Nepali coffee each time you partake a cup there. The young blushing manager Micah says they use only Nepali coffee beans.

He added that they will also be introducing good brewed tea for the tea lovers and  have plans to start baking cakes too. From the sound of it, it could very well be the place for all the discerning nonalcoholic beverage drinkers to gather and enjoy high tea.

They also serve American style breakfasts and lunches. The Himalayan Java, opened recently is located at the ground floor of the Heritage Plaza office building in Kamaladi. Himalayan Java’s Kathmandu International Coffeehouse (P) Ltd. is a member of the Specialty Coffee Association of America, a reputable association committed to furthering the growth of the coffee industry across the world.