1.

Background of the Study

Credit management in a bank is a dynamic sector where a certain standard of
long-range planning is needed to allocate the fund in diverse field and to
minimize the risk and maximizing the return on the invested fund. The
objective of the credit management is to maximize the performing asset and the
minimization of the non-performing asset as well as ensuring the optimal point
of loan and advance and their efficient management. The credit policy of
Sunrise Bank Limited is a combination of certain accepted, time tested
standards and other dynamic factors dictated by the realities of changing
situations in different market places. I tried to make an overall analysis of
credit activities of Sunrise Bank Limited.

In an economy driven by appetite for success, Sunrise Bank Limited is "Rising

to Serve" by defining new levels of services and products. As a bank founded
by reputed entrepreneurs, we understand the needs of a growing economy and
are well equipped to serve them.

Our team of seasoned banking and management professionals have dedicated

themselves to establishing an institution determined to cater to the needs of all,
be it big or small. Your aspirations are our benchmarks and we will always be
"Rising to Serve".

1.1 Profile of the Bank

Sunrise Bank Limited is a commercial bank in Nepal. Established 12 Oct.

2007. The bank is an ‘A’ class commercial bank licensed by Nepal Rastra
Bank and has branches all across the nation with its head office
in Kathmandu which provides entire commercial banking services.

The bank's shares are publicly traded as an 'A' category company in the Nepal
Stock Exchange. In an economy driven by appetite for success, Sunrise Bank
Limited is "Rising to Serve" by defining new levels of services and products.
As a bank founded by reputed entrepreneurs, we understand the needs of a
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growing economy and are well equipped to serve them.Our team of seasoned
banking and management professionals have dedicated themselves to
establishing an institution determined to cater to the needs of all, be it big or
small. Your aspirations are our benchmarks and we will always be "Rising to
Serve".

2. Statement of the Problem

A sound banking system with wide spread branches throughout the country,
availing varieties of banking services to fulfill commerce, trade industry and
agriculture need of the country, is of crucial importance for Nepal.

The main reasons behind the private banks are not interested to establish their
branch in remote area is due to lack of confidence of security level. In fact,
government is responsible to maintain peace and propriety in the country, but
unfortunately the government is not able to perform its job. So, blaming only to
the banks for not feeling their responsibility for the remote area will not be the
fair judgment. Moreover, establishment of branches in the remote area even
after taking risk do not generate profit to the banks because government also
has not given emphasis to the remote area for its economic development.

1) What is the percentage of the loan of total deposit been disbursed?

2) Is the lending position sound to reflect a good status of the bank’s
performance?

3. Objective of the study

Objective of the report is divided into two categories. There are specific
objectives.

1) To find out the percentage of the loan of total deposit been disbursed.
2) To find out whether lending position sound to reflect performance of
bank.

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4. Significance of the Study
Without any argument it can be accepted that a bank’s performance hugely
depends on the amount and the types of loan it provides. Rather it is believed
that the sound health of the bank relies on the optimum lending position of the
bank, which mean; better the lending position of bank, higher will be the return
to the stakeholder of the bank.

This study reveals the role of SRBL in the industrial development as well as
identifies the contribution of the bank to the economic development of the
country. However, there has been little research done on commercial baking
and especially on the loan disbursements of the banks. Since most of the
population of our country depends on agriculture, it has become essential that
these studies are conducted, in order to provide insights to the people as to
what measures are being taken by the banks to facilitate people to carry out
expensive ventures and at the same time provide the citizens with economic
support. Moreover, the loan disbursement outline of SRBL will be in
accordance to people’s economic enlistment along with identification of the
weaknesses of the loan disbursed in various sectors of the country. The study is
conducted with a purpose of determining the trend of the pattern of loan
distributed since the past five years, while trying to create a vision of what the
trend of loan disbursement would be in the near future.

5. Limitation of the Study

This study has been conducted appropriately however there were several
complications; which arose indigenously. As this research tries to justify the
events in accordance with the well known or already established tools and
techniques, emphasis is not given to fundamental and decision oriented study.

1. The entire study is based on secondary data collected through the Annual
Report.
2. The employee of SRBL do not provide comprehensive credit policy due

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 to confidentiality in nature of credit policy.
3. The data only focuses on the time period of the last 5 years i.e. from Mid
July 2012 to Mid July 2017.
4. Time constraint or limited time has had an impact on shaping up the study
conducted.

6. Research Methodology

These are important, in the context that, any organization needs some cash
to meet its day to day operation, other liabilities & contingencies as it fall
due & pay for it in cash.
6.1 Research Design
- Descriptive Design
6.2 Methods of Data Collection
- Secondary Data
6.3 Tools and Techniques use in repot/tools used
- Financial & stastical tools

7. Organization of the Study

The Credit Management of SRBL is presented in organized from. The whole

study is divided into three different chapters and they are given as follows.

Chapter I Introduction : This chapter consists of background of the study,

profile of the organization, events, activities, problem of the Study, objectives
of the study, Rationale/Need of the Study, Method of the Study, Review of the
study and limitations of the Study.
Chapter II Results and Analysis : This chapter consists of the preparartions
of results and findings of the project works.

Chapter III Summary and Conclusions : This chapter consists of brief

summary of the reports and conclusion based on the findings of the report.

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 A CASE STUDY ON CREDIT MANAGEMENT OF

SUNRISE BANK LIMITED

A Proposal
Submitted By
Yogesh Jaiswal
Campus Roll No : 81/072
T.U. Regd. No: 7-2-238-157-2015
Hari Khetan Multiple Campus, Birgunj

Submitted to:
Faculty of Management
Tribhuwan University
Kathmandu

In the partial fulfillment of the requirement for the degree of

'Bachelor of Business Studies' (BBS 4th Year)
Birgunj, Parsa
Nov, 2018

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 TABLE OF CONTENTS

1 Background of the study 1

2 Statement of problems 2
3 Objective of the study 2
4 Significance of the study 3
5 Limitation of the study 3
6 Research Methodology 4
7 Organization of the study 4