ACKNOWLEDGEMENT The Report is about the Management Recovery of Lumbini Bank which had been prepared from the

authority of Smart at apex. This Report is about the Field visit to commercial bank i.e. Lumbini Bank Limited which helps to provide us a way to analysis and to gain better knowledge about the management recovery of Lumbini bank which we had never done before. These reports provide us a better knowledge about the issues of commercial bank, reason behind the failure of bank and the way of recovery of bank. We had tried to present it in simple and analytical way about this report. We would like to thank Mr. Suraj Rungta and Ms. Sarita Chhantyal to provide us the basic ideas and supports from initials for preparation of this report. Then we would like to thank team members of Lumbini Bank Limited who have given us their valuable time for making us to understand the related fields and terms.

EXECUTIVE SUMMARY Lumbini bank was established in 1989, for the wide range of banking solutions and services meticulously customized to the need of the customers. Lumbini bank had started its operation from Narayangard,chitwan and spreading its wings to future 14 more places of Nepal. Lumbini Bank has Authorizes Capital NPR 1.6 Billion, Issued Capital NPR 1.43 Billion and Paid-up Capital is NPR 1.43 Billion. In lumbini bank Promoters have 66% and General Public have 34% of share. The total number of public shareholders is 70.

Lumbini Bank Ltd. has been providing different services to customers with different and unique means of communication and latest technology in context of Nepal in current period. Due to the economic crisis and political instability in Nepal, the entire banking sector is coping with multiple challenges-liquidity crises, inflated interest rate, declining deposit, danger of real estate collapse and management problem. This type of problem has never been faced before by commercial banks of Nepal. This project report is prepared on "Management Recovery of Lumbini Bank". This report is prepared for the fulfillment of the SMART program. During the preparation of this project we had the opportunity to learn many new things. We learned how the bank operates on day to day basis and a bank can recover its management. We learned the different problem face by a bank. We were able to know the management positioning of the bank in the Nepalese market. The objective of this study is to get practical knowledge, exposure to business reality, develop interpersonal, research and communication skills. This project has also helped to build our analytical and problem solving skills.