There has been widespread merger and acquisition of banks and financial institutions in past 2-3 years, especially triggered by Nepal Rastra Bank’s increased minimum capital requirement and it appears that banks/financial institutions have succeeded in meeting their instant objective of meeting minimum capital requirement. However, only time will tell whether such merger/acquisition will be able to deliver value to the stakeholders of bank’s and financial institutions and support in overall strategic goal of risk management and sustainable business growth while supporting economic development of the country.
Current trend in Merger and Acquisition have been discussed here.