KATHMANDU: ICRA Nepal has released a five-year review of credit-rating transitions among major commercial banks in Nepal, showing mixed trends in the financial strength and risk profiles of the country’s banking sector.

According to the data covering 2022 to 2026, Standard Chartered Bank Nepal has maintained an IR AAA rating throughout the five-year period, the highest rating in the group. Nepal SBI Bank has also maintained its IR AA rating during the period.

However, several major banks have seen their ratings weaken. Nabil Bank’s rating declined from IR AA- in 2022 to IR A in 2026. Global IME Bank has also experienced fluctuations and currently holds an IR A- rating.

Prabhu Bank and Kumari Bank have recorded more significant declines, with their current ratings at IR BB+@ and IR BB+, respectively.

Nepal Bank Limited has maintained an IR A rating throughout the five-year period. Nepal Investment Mega Bank currently holds an IR A- rating, while Laxmi Sunrise Bank and Siddhartha Bank are rated IR BBB@ and IR BBB+, respectively. Machhapuchchhre Bank holds an IR BBB+@ rating in 2026.

Several banks have withdrawn from ICRA Nepal’s rating process. Everest Bank withdrew its rating in 2026 after holding an IR AA- rating. Sanima Bank, NIC Asia Bank and Agricultural Development Bank have also withdrawn their ratings, according to the report.

ICRA Nepal uses special symbols to provide additional context to its ratings. The “@” symbol indicates that a rating is under negative watch and reflects stress in the bank’s credit profile, while the “&” symbol indicates uncertainty associated with a merger or acquisition.

ICRA Nepal said the report covers live ratings for 13 of Nepal’s 20 commercial banks. Rating information for some banks, including Himalayan Bank, Prime Commercial Bank and Rastriya Banijya Bank, is not included in the current list.