Net Interest MarginNIM

NIM shows how much a bank earns from its core lending and investing business after paying interest to depositors and lenders, relative to the size of the assets that earn interest. It is calculated as (interest income − interest expense) divided by average interest-earning assets such as loans, government securities and interbank placements.

NIM differs from the interest spread. The spread compares average rates (lending rate minus deposit rate), while NIM compares rupee amounts with earning assets. A bank funded partly by interest-free current accounts and equity can have a NIM wider than its spread, because part of its earning assets carries no interest cost.

NIM falls when competition for deposits pushes up the cost of funds faster than lending rates, when the regulator tightens the allowed spread, or when a bank holds large idle liquidity. NIM rises when the share of low-cost CASA deposits increases or when loan yields rise. Because net interest income is the main source of a Nepali bank's revenue, NIM is a key driver of ROA.

NIM ले निक्षेपकर्ता र ऋणदातालाई ब्याज तिरेपछि बैंकले आफ्नो कर्जा तथा लगानी कारोबारबाट ब्याज आर्जन गर्ने सम्पत्तिको तुलनामा कति कमायो भन्ने देखाउँछ। सूत्र: (ब्याज आम्दानी − ब्याज खर्च) / औसत ब्याज आर्जन गर्ने सम्पत्ति।

ब्याजदर अन्तरले औसत कर्जा दर र निक्षेप दरको फरक देखाउँछ भने NIM ले रकमलाई सम्पत्तिसँग तुलना गर्छ। ब्याजरहित चल्ती निक्षेप र स्वपुँजीले वित्तपोषण भएको बैंकको NIM ब्याजदर अन्तरभन्दा फराकिलो हुन सक्छ। निक्षेपका लागि प्रतिस्पर्धा, नियामकले ब्याजदर अन्तर घटाउनु वा अधिक तरलताले NIM घटाउँछ; सस्तो CASA निक्षेप बढ्दा NIM बढ्छ।