Civil Bank to integrate Apex Development Bank and Civil Merchant Bittiya Sanstha

Civil Bank a “A” class Commercial Bank signed MoU to integrate a “B” class Apex Development Bank and a “C” Class Civil Merchant Bittiya Sanstha dated 7th October 2013. After the merger, Civil Bank’s equity base will increase from Rs. 2 billion to Rs. 2.9 billion and Bank’s branch penetration will increase from 20 to 33 branches across the country.

This is a commendable effort from Civil Bank to ink a MoU to integrate two institutions at one go. Such an initiative would also encourage other stakeholders of the industry to go for merger in order to further consolidate and streamline financial services sector. It is envisage downsizing the number of Development Banks and Financial Institutions drastically to match to our size of economy in a few years time in order to have the qualitative and robust growth of the financial services industry.