The first-of-its-kind institute in the country, which will comprise more than 50 percent stake of NBA, is being opened in partnership with Nepal Rastra Bank, the country´s central bank, and Rural Microfinance Development Center. As of now, the Asian Development Bank has agreed to provide a grant assistance of $2 million to open the institute.
"We are now in the process of finding a CEO to run this institute," an NBA source told myrepublica.com. "We are also putting up the advertisement of the vacant position in The Economist magazine to secure the best person."
After completion of this process by the beginning of the fourth quarter of 2009, formal work of setting up the institute and designing the courses will begin.
As per the initial plan, the institute will be headquartered in Kathmandu with branches in Biratnagar, Pokhara, Nepalgunj and Hetauda. "The offices located throughout the major urban centers will focus on training more people from rural areas," the source said, adding, "This will be of great help to individuals seeking employment in the country´s financial sector, including the rural finance and microfinance sectors."
Although the institute is still undecided over whether to affiliate itself to university or professional school, it plans to provide formal education to up to post-graduate level. The institute will also offer specially designed courses for individuals currently working in or planning a career in the financial sector, as well as short and distance learning courses, according to the source.
"We hope these initiatives will lift the levels of professional competence throughout the financial sector and cater to the needs of financial institutions in the country that frequently face crunch of qualified human resources," the NBA source said.
The rise in the number of financial institutions in the country in recent years has increased the demand for bank employees. But since there are limited trained and qualified persons in the market, most of the financial institutions are filling the gaps by hiring employees of other companies. In many cases, senior positions are also being offered to employees without much exposure to the banking sector, increasing the chances of making gaffes that can severely ruin the reputation of the financial institution.
"We hope the upcoming institute will address all these problems plaguing the financial sector in the country," the source said.
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