Banking Exam Question - What are the Main Function of Commercial Banks in Nepal Other than Accepting Deposit & Loan? Explain

Introduction - Function of Commercial Banks in Nepal

1. Credit Creation: Commerce banks provide short-term and long-term loans to the entrepreneurs, entrepreneurs, and the fixed proportions of fixed proportions. Loan cash like this does not flow. The bank will deposit the account's account in the name of the lender as a deposit in the account. Creating such deposits is called credibility.
2. Conservation of Precious Metal: Consumer banks work with the convenience of bringing valuable items such as gold, silver, diamond, pearls, and key documents as well. The bank will take some money by subscribing to the facility.
3. Money Transformation: Commerce banks transfer from one country to another country and from one place to another. Due to such work, commerce banks take service fees from the customers.
4. Agent Related Work: Commerce banks work to collect dividend of any person and firm, raise interest in capital, raise land or home investment, raise fees for university and schools. After doing such work, commerce banks take some money as subscribers from customers.
5. Purchase a certificate or Commercial Paper
6. Invest in stock and venture (Stock & Debenture Investment)
7. Issuing Letter of Credit
8. Pay dividend, interest etc. (Dividend, Interest Payment)
9. Exchange of foreign currency, passenger check removal, collection of debenture etc.