Development Bank Sector Gains 0.90%: Nepal Dev Bank Stocks — March 31, 2026

Nepal's Development Bank sector had a broadly positive March 31, 2026 session, with the Development Bank sub-index gaining 0.90% to 6,165.15. However, the session was not without drama: Saptakoshi Development Bank (SAPDBL) crashed 8.96% to Rs 954.40, becoming the single biggest loser of the entire Nepal stock market on the day. This report covers the full development bank sector picture.

Development Bank Sector Overview — March 31, 2026

The Nepal Development Bank sub-index added 55.45 points (+0.90%) to close at 6,165.15 on March 31, 2026. This sector outperformed the NEPSE composite (which gained 0.69%), making it the second-best performing major sector of the day behind Manufacturing (+1.94%).

Metric	Value
Sub-Index Close	6,165.15
Change (Points)	+55.45
Change (%)	+0.90%
Notable Loser	SAPDBL (-8.96%)
Date	March 31, 2026

SAPDBL — The Sector's Outlier Loser

Saptakoshi Development Bank (SAPDBL) fell a dramatic 8.96% to Rs 954.40 with 102,465 shares traded. This is close to the 10% lower circuit limit and represents a significant single-day loss for shareholders. The fact that the Development Bank sector still gained 0.90% despite SAPDBL's crash indicates that the majority of development bank stocks in the index had a positive session.

For investors holding SAPDBL, the 8.96% decline raises questions about near-term support. The stock's previous close was approximately Rs 1,048, meaning the stock lost Rs 93.60 per share in a single session. Shareholders should check for any company announcements, dividend decisions, or regulatory updates that may have triggered this sharp move.

Role of Development Banks in Nepal's Economy

Nepal's development banks occupy a vital space in the country's financial ecosystem. Unlike commercial banks (Class A) which tend to focus on urban, large-ticket lending, development banks (Class B) serve:

• Small and medium enterprises (SMEs) in semi-urban and rural areas
• Agricultural and agro-processing businesses underserved by commercial banks
• Regional entrepreneurs who require more flexible lending terms
• Infrastructure projects of local and provincial importance

Nepal Rastra Bank (NRB) regulates development banks under a separate capital adequacy framework, requiring lower minimum paid-up capital than Class A commercial banks but with geographic and sector lending restrictions.

Development Bank Sector Outlook

The sector's 0.90% gain on March 31, 2026 is encouraging, particularly given SAPDBL's drag on the index. Key things to monitor for the sector going forward:

• SAPDBL recovery: Will the stock stabilize and recover, or continue to slide?
• NRB policy on development bank mergers — consolidation is ongoing in the sector
• Credit quality: NPL trends among development banks are crucial for sector valuation
• Dividend season: Development banks typically announce dividends in Q4 of the fiscal year

The Development Bank sub-index's 0.90% gain on March 31, 2026 to 6,165.15 reflects strong fundamental interest in Nepal's development banking sector. SAPDBL's 8.96% decline was an outlier — the rest of the sector clearly outperformed to pull the sub-index positive. Development banks remain an important segment of Nepal's financial system, serving businesses and regions that commercial banks often underserve. Investors should monitor SAPDBL's recovery path in upcoming sessions.