3.

Statement of Problem
As we know that the main objective of any business organization e.g. Bank is profit
maximization. Analysis of financial statement helps to attain this objective as it gives the
information about the different activities inside the organization. A bank has to make
decisions with a framework of statutory requirements of regulation by central banks, as well
as the national objectives that are determined in the matter of the provisions from time to
time.
Though the banking system is making much progress, the progress has been set up with the
problem and hindrances. Another pressing problem is under developed country, lack of
banking habit in people. Many people are under the poverty line. Many people are not
literate so people are not conscious about the banking system and don’t know the importance
of bank. Bank concentrates only in the city so village have to take a loan from money lender
at a high rate of interest. Most of the people keep their saving idle or give it to others to use
it in greed of more interest.
The main problem of the study is to inquire into the financial performance of Nepal
Investment Bank Limited.

Thus, this study will help to find out the answer of the following questions:
• What is the overall financial position of NIBL?
• What is the position of the NIBL in terms of liquidity and profitability?
In this context, the main purpose of the study is analyzing the financial performance of
Nepal Investment Bank Limited in terms of profitability, liquidity, turnover, and efficiency
in operation as well as other related dimensions.