g]kfndf ul/aL /x];Dd ul/aLlj?4sf] xfd|f] n8fO{ lg/Gt/ hf/L /xg]5 . Govt. Nepal Regd. No.: 102/051/52 Nepal Rastra Bank License No.: 50 Social Welfare Council Aff. No.: 3222

/fli6«o z}lIfs tyf ;fDfflhs ljsf; ;+:yf, g]i8f] g]kfn National Educational & Social Development Organization, NESDO Nepal An Organization for Propoor Social Inclusion, livelihood Improvement & Sustainable Development Branch Office: R C • Kusma, Parbat rnfgL g+M ÷)&%÷&^ ldltM @)&%÷)*÷)* Phone: 067-420229 E OMMUN • Beni, Myagdi Phone: 069-521023 SPONSnfO{M • Chipledhunga, Pokhara Phone: 061-524908 • Lekhnath, Kaski Phone: 061-561716 >L ======Ho", • Damauli, Tanahun Phone: 065-561771 • Putali Bazar, Syangja >4]o÷cfhLjg÷;fwf/0f ;b:o Phone: 063-420836 • Waling, Syangja Phone: 063-440593 • Bhoteodar, Lamjung ljifoM ;fwf/0f ;ef ;DjGwdf . Phone: 066-400123 IB IC • Dumre, Tanahun Phone: 065-580186 dxf]bo, • Tansen, Palpa Phone: 075-520342 • Gorkha Bazar, Gorkha LElhNnf k|zf;g sfof{no kj{tdf btf{ eO{ ;dfh sNof0f kl/ifb sf7df08f}df cfj4 eO{ g]kfn /fi6« j}+sjf6 n3' A Phone: 064-421475 • Duipiple, Lamajung ljQLo sf/f]jf/ ug]{ Ohfht lnO{ g]kfnsf !@ lhNnfdf %^ j6f zfvf sfof{no dfkm{t *) xhf/ dlxnf, ljkGg T Mob.: 9846063433

• Khairenitar, Tanahun Phone: 065-570776 tyf ;fdflhs ?kdf jlGrtLdf k/]sf ju{sf] r]tgf, ;+u7g, cfocfh{gsf] dfWodjf6 hLljsf]kfh{gdf ;'wf/ Nofpg I • Baglung Bazar Phone: 068-522736 CI • Beshisahar, Lamjung ;dlk{t o; /fli6«o z}lIfs tyf ;fdflhs ljsf; ;+:yf, g]i8f] g]kfnsf] @$cf}+ jflif{s ;fwf/0f;ef–@)&%, ON Phone: 066-520808 • Bharatpur, Chitwan ær]tgf, ;+u7g / cfocfh{g, zxsfo{, ;befj / Pstf . Phone: 056-530893 V • Tandi, Chitwan Phone: 056-563439 3/b}nf]df u'0f:t/Lo n3' ljQLo ;]jf g]i8f] g]kfnsf] k|ltj4tf .. • Chanauli, Chitwan I Phone: 056-592147 dlxnf, ljkGg Pjd\ jlGrt ef}uf]lnstfdf ljsf;sf] jxf/ . • Rampur, Palpa L HUMAN Phone: 075-400029 cfly{s, ;fdflhs Pjd\ ef}lts ljsf;, /fli6«o ;d[4Lsf] cfwf/ ..Æ

• Patichaur, Parbat Phone: 067-410085 • Naudanda, Kaski eGg] d'ngf/fsf ;fy lgDg Phone: 061-414023 SO • Kawasoti, Nawalparasi Phone: 078-541086 ldlt, ;do / :yfg • Bardaghat, Nawalparasi Phone: 078-580741 CI • Sunwal, Nawalparasi ldltM @)&% d+l;/ @( ut] zlgjf/sf lbg Phone: 078-570509 • Huwas, Parbat ljxfg l7s &=)) jh], ldltM Phone: 067-411076 • Arghali, Palpa ET Mob.: 9847647238 :yfgM xf]6n j]Gh', s'ZDff kj{tsf] ;efxndf RI • Galkot, Baglung Phone: 068-412031 cfXjfg ul/Psf] Joxf]/f ;xif{ hfgsf/L • Burtibang, Baglung Phone: 068-410093 Y • Kharbang, Baglung u/fpFb5f}+ . ;+:yfsf] pQm @$cf}+ jflif{s ;fwf/0f;ef df oxfFsf] clgjfo{ ;xeflutfsf] nflu xflb{s cg'/f]w ub{5f}+ . GH Phone: 079-412126 • Birauta, Kaski Phone: 061-464013 FOoxfFsf] hfgsf/Lsf] nflu ;fwf/0f;efsf] sfo{qmd tklzn jd]flhd /x]sf] 5M • Bhandara, Chitwan Phone: 056-550595 • Belatari, Nawalparasi tklzn T Phone: 078-419089 • Mugling, Chitwan R qm=;+= sfo{qmd ;do ;fwf/0f ;efdf lg0f{ofy{ k|:t't k|:tfjx? S Phone: 056-540115

• Phalewas, Parbat != ljxfgsf] gf:tf ljxfg &M)) b]lv &M#) jh];Dd, • cf=j= @)&$÷&% sf] k|ult k|ltj]bg k|:t't÷cg'df]bg Phone: 067-430043 • Darwang, Myagdi @= ;b:ox?sf] gfd btf{ ljxfg &M#) b]lv *M)) jh];Dd, • cf=j= @)&$÷&% sf] cfly{s k|ltj]bg k|:t't÷cg'df]bg Phone: 069-420003 NA • Lunkhu, Parbat #= ;fwf/0f;ef pb\3f6g ljxfg )*M)) b]lv !!M)) jh];Dd, • c=j= @)&%÷&^ sf] jflif{s sfo{qmd k|:t't÷kfl/t & Mob.: 9817567943 $= vfgf lj>fd lbgsf] !!M)) b]lv !@M#) jh];Dd, c=j= @)&%÷&^ sf] k|:tfljt jh]6 k|:t't÷kfl/t Fighting Against Poverty Since 1995 • Thapathana, Parbat • Mob.: 9867706981 T %= jGb z];g lbgsf] !@M#) b]lv $M#) jh];Dd, • Madi, Chitwan • n]vf kl/If0f k|ltj]bg dfly 5nkmn tyf cg'df]bg, Phone: 056-501042 ^= ;dfkg ;df/f]x ck/fGx $M#) b]lv %M#) jh];Dd, D • Arunkhola, Nawalparasi I • cf=j= @)&%÷&^ sf] nflu n]vf kl/Ifs lgo'QmL tyf kfl/>lds lgwf{/0f Phone: 078-555110 • ;~rfns ;ldltsf] lg0f{o tyf kl/dflh{t gLlt, lgodx?sf] cg'df]bg, E • Parasi Bazar, Nawalparasi ON Phone: 078-520611 • g]i8f] ;Dj[4 n3'ljQ ljQLo ;+:yf ln= df sf/f]jf/ x:tfGt/0f ;DjGwdf, • Bhimad, Tanahun V Phone: 065-572352 • cGo ;d;fdflos k|:tfj kfl/t, • Karaputaar, Lamjung Phone: 066-410158 EL • Thantipokhari, Gorkha dfly pNn]lvt k|:tfjx?sf] cnjf s'g} ljz]if k|:tfj ePdf @$ 306f cufj} ;+:yfsf] k|wfg sfof{no, s'Zdf kj{tdf Phone: 064-400085 B • Ghalchowk, Gorkha lnlvt btf{ u/fpg' xf]nf . wGojfb . Phone: 010-416080 U • Arughat, Gorkha OPM Phone: 064-410175 • Galyang, Syangja I Phone: 063-460373 • Chapakot, Syangja L Phone: 063-411125 • Parbatipur, Chitwan Mob.: 9845519156 D • Amarapuri, Nawalparasi -ljZj k|sfz k|;fO{_ E Mob.: 9867223385 I • Dedhgaun, Nawalparasi N Mob.: 9846573963 NG ;b:o ;lrj • Chhahara, Palpa Mob.: 9867838462 T • Setibeni, Parbat df]= (*%&^–#))^) Mob.: 9857068574 Our Vision We Want - Poverty Free, Inclusive & Prosperous New Nepal Head Office: Kushma Muncipality-06, Newroad, Parbat Microfinance Central Office: Pokhara Metropolitan-17, Birauta, Damsideroad, Kaski Tel.: +977-67-420229, 420060, 420803, Fax: +977-67-420803 Tel.: +977-61-460060, 463160, 460329, Fax: +977-61-460329 E-mail: [email protected], Website: www.nesdonepal.org ‘‘dfgjLo ;]jfdf ;dlk{t :jo+;]jLx?sf] kxndf :yflkt ;fdflhs ljsf; ;+:yf’’

th 24 Annual Report 2017/018 I 24th Annual General Assembly 15th December 2018 (29th Mangsir 2075 ) PROGRAM SCHEDULE

PROGRAM TIME A. Registration & Breakfast 7:00AM to 8:00AM B. Opening Ceremony 8:00AM to 11:00AM 1. Chairing the Chairperson 2. Chairing the Chief Guest and other Guest of Honor 3. Distributing Batch to Guest, Institutional Welcome to Guests, Honoring Institutional Anthem and National Anthem 4. One Minute Silence invocation for Martyr and for National & World Peace 5. Formal Program inaguration by lighting the perprosus lamp 6. Commitment for Fight Against Poverty by Staff and Management 7. Brief Institutional Program Presentation: 7.1. Brief Annual Progress Report of FY 2074/075 and Poliy & Program of FY 2075/076 Presentation 7.2. Brief Financial Progress of FY 2074/075 and Budget for FY 075/076 Presentation 8. Personality Recognition Award Declaration and Distribution 9. Various Caltural Show 10. Warm Greeting Speech by Guest 11. Filiciating Chief Guest along with other Guest of Honor 12. Chief Guest Speech 13. Speech and Opening Ceremony Closing Remarks by the Chairperson Lunch Break 11:00AM to 12:30PM Inhouse Session: 12:30PM to 4:30 PM 1. Chairing the Chairperson & BoD 2. Assined Responsibility Such as (Time keeper, Reporter & Surzent at Arm) 3. AGM Agenda Presentation and its approval from General Assembly Main Agendas: 4. Annual Progress of FY2074/075 & Annual Program of FY 2075/076, Presentation, Discussion & Approval 5. Annual Financial Report of FY 2074/05 and Annual Budget for FY 2075/076, Presentation, Discussion and Approval 6. Audit Report of FY 2074/075 Presentation, Discussion, Approval, Appoinment of Auditor for FY 2075/76 & fixing the audit fee 8. Approval of Amended Constitution, Policy, Rule, Regulation & Board Decision 9. Decesion for Hand Over all the finicial transaction of NESDO, Nepal to NESDO Sambridha Laghu Bittiya Santha Ltd 10. Fixing the Salary and other Benefit of CEO and special authority to Board & CEO for Employees Salary & Others Closing of AGM 4:30PM to 5:30PM

cf}+ II @$ jflif{s k|ltj]bg @)&$÷)&% TABLE OF CONTENTS

S.No. Particulars Page No. 1 Message from the Chair 1 2 From the Desk of the Executive Chief 2-3 3 Introducing NESDO Nepal/Governance 4 4 Governing Board: 5 5 Vision/Mission/Goal 6 6 Managements 7-8 7 Management Team 9 8 Working Area of NESDO Nepal 10 9 Area of Expertise 11 10 Major Input & Output 12 11 Milestones 13 12 The Unique Features 14 13 Microfinance 15-22 14 Welfare Scheme & Remittance 23-25 15 Human Resources 26-28 16 Financial Information 29 Fighting Against Poverty Since 1995 17 Stories to Smile 30-31 18 Community Development Program 32-35 19 Annual Program & Approve Budget 36-37 20 From Suffering to Smile 38-39 21 Nesdo Nepal in Print Media 40 22 Audited Financial Statements 41-51 23 Events 2074/075 52-53 24 NESDO, Nepal at a Glance 54 25 NESDO Nepal Branch Offices 55-68 26 NESDO's Institutional Members List: 69-70 27 Legal Documents 71

th 24 Annual Report 2017/018 III cf}+ IV @$ jflif{s k|ltj]bg @)&$÷)&% Message from the Chair

The year 2074/075 (2017/018) has been yet another successful year for NESDO Nepal. I take the pride in all the progess and achievements that have been made by all the branch offices of NESDO Nepal. It has completed two decades of its operation of the various activities in 12districts of Nepal. Its Program activities cover a wide range of areas with particular focus and efforts on Microfinance, Micro insurance, Agriculture, Health, Drinking Water & Sanitation, Gender Promotion, Environment protection and so on. With these programs NESDO Nepal, till the end of the reporting period had been serving more than 77 thousands ultra-poor families within the working area. NESDO Nepal is thoroughly committed to its mission that it works in such way that the beneficiaries can feel that the outcome at the end of the day is a collective achievement. The Financial year 2074/075 (2017/018) demonstrated a higher progress and improvements of work in all these programs under taken by NESDO Nepal. This was possible due to definitive policies adopted and practiced, arduous work done by all the staff members of the organization support provided by development partners, stake holders and well wishers. This year there had been 11 board meetings and the Annual General meeting. All these meetings reviewed the periodically progress of the organization, approved the plans and budgets and decided policy issues and provide guidance. I thank all the board members for their attendance and participation in board meetings as

well as the members of the general assembly for their cooperation, support and active participation Fighting Against Poverty Since 1995 in the assembly in contributing to frame policy decisions and guidance. The report outlines the activities performed by NESDO Nepal over the past one year and records the story that the target people are moving forward being enabled by various programs implemented by NESDO Nepal. The reader will find the details activities and the progress made during the FY 2074/075 (2017/018) .I sincerely thank all those who had put their hard work in achieving the growth targets; I congratulates the relevant personnel who had put their labor in compiling and preparing the report. I do believe that the readers will get an insight of NESDO Nepal through this report .However; any suggestion from the readers will enable us to enrich the quality of the report in the future.

...... Mr. Ratna Prasad Adhikari Chairperson

th 24 Annual Report 2017/018 1 cf}+ 2 @$ jflif{s k|ltj]bg @)&$÷)&% NESDO Nepal Completed 24 years in 2075 (2018).After two decades when I look back, It reminds me, in what difficult situation NESDO Nepal started its journey from a remote Village of Parbat districts of Nepal called Bajung,my birth place. After completing my graduation in Law me with my 27 friends decided to registered a NOG Named NESDO Nepal with an objective to serve the poor, marginalized community of Nepal. Over the years NESDO Nepal has been able to overcome difficulties it faced and developed many economic, social and safety nets, service dedicated to towards improving the socio-economic conditions of the poor people. NESDO Nepal as its very nomenclature is likely to denote is an organization primarily devoted to create or assist in employment opportunities or income –generating activities in the remote hilly rural area of Nepal. NESDO Nepal realizes that the poor of the country are in the poverty circle because of the Inheritance of some socio-economic realities. Reduction of poverty cannot be achieved merely by making funds available. Funds have to be used for purpose that will enable them to fight it back with some realistic plans. The fundamental principle on which the birth and growth of NESDO Nepal was conceived relate to the improvement of the lives of the poor reside in the remote hilly area. Looking back at the time span of more than two decades of its operation, we fell that NESDO, Nepal had been in the right track and could make some valuable and lasting contribution for the lives of the poor. NESDO Nepal has emerged as the leader in Microfinance in the hilly area for its innovative and vision –oriented ideas and for the passion that its personnel inject into implementation of the program. Naturally our sincere efforts have earned commendations from the people we target to serve, from the development partners, government agency, who put trust in us and we try to honor the trust with our utmost commitment. I feel delighted to share the fact that NESDO Nepal has not only been managing microfinance sustainably but also providing social services from its own income. This is a rare example in development practice. To keep the process of poverty reduction going and for the sustainability of its achievements more social issues like health, education. Sanitation, Hygiene has to be given due emphasis because there are interrelated with efforts of curbing poverty. Lack of sound health, education pushes poor people in to chronic poverty. I want to note that the success of NESDO Nepal is a collaborative achievement that has established this organization as the most esteemed player in the comprehensive transaction Fighting Against Poverty Since 1995 of microfinance in Nepal. While submitting this Annual Report for public readership .I fell happy for the successful milage that we have traveled in the last financial year but this does not signify our absolute self-gratification. I do humbly acknowledge the services rendered by my colleagues at every level of the organogram, the assistance and cooperation from the development partners who put in us their trust and all important resources. We are going to celebrate our Silver Jubilee in next year. Altogether we left behind financial year 2074/075 (2017/018) with a mixed bag of experience as we are able to reach 77 thousands ultra poor families through our passionate and caring financial and non-financial services. We are committed to reach more helpless people as well as more remote area with more crucial services for the common mass in the coming year. Thanking You All ...... Mr. Bishwa Prakash Prasai Executive Chief

th 24 Annual Report 2017/018 3 Introducing NESDO Nepal: National Educational and Social Development Organization (NESDO, Nepal) is non-profit making, self- governed, autonomous, continuous legatee Micro Finance Institution, Knowing the fact that the state only cannot address the issues of gender, caste community at all level. NESDO Nepal was established in 2051B.S. (1995) to assist the state in addressing the gender, caste, community issues by empowering the community by Bajung Birth Place of NESDO, Nepal giving emphasis on income generating activities of the poor, dalit, janajati, destitute, minority which resulting eradication of poverty. Achievements of such aim are possible through implementation of various community level programs and Microfinance program that aims to assists the national development by utilizing the local recourse. The Principle objective of NESDO, Nepal is to help reduce poverty through employment generation. Starting with Microfinance Program NESDO Nepal has diversified its portfolio over the years. This program aimed at helping the poor to gain access to finance and trade training so that they under take income generating activities, while creating mostly self- employment. In recent years emphasis has been on enterprise development and various assistance to raise client’s financial abilities, education, entrepreneurship , health etc .In other words NESDO Nepal is now seeking to promote integrated development in which financing is an important element. At Present NESDO Nepal Providing Microfinance Services to 77 thousands ultra-poor families reside in the remote hilly area of Nepal through its fifty branch offices located in the 12 districts. Governance: The General Assembly The supreme authority of NESDO Nepal is the Generally Assembly. The Generally Assembly consists of 131 members out of which 5 are honorary member 76 life and 50 are general member. At the same time the member composition consists of 51% male & 49% female of which 71% belongs to BCN, 16% Janajati, 9% Dalit & 4% from minority community. Every year the members participate in the general assembly. The general assembly of NESDO Nepal mainly aims at providing policy guidance to achieve the intended goals of the organization and approves the annual budget, audit report & next year plan. At the end of every three year the Generally Assembly selects 7 members Governing Board as the executive committee of the Institution.

cf}+ 4 @$ jflif{s k|ltj]bg @)&$÷)&% Governing Board:

The Governing Board is the highest policy and decision making body of NESDO Nepal. The Governing Board of NESDO Nepal consists of Seven Members from different professions such as university teachers, Government officials and retired professionals. The Governing Board is responsible for the formulation of plan and budget for various Programs to be implemented by the Organization. The Governing Board evaluates and monitors the implementation of policies, programs. The Executive Director works as Member-Secretary of the Governing Board. The Executive Director is the chief Executive of NESDO Nepal and responsible for the smooth implementation of all activities of the Organization. The Executive Director implements activities through the support staff of the organization.

Mr. Ratna Prasad Adhikari Chair Person Fighting Against Poverty Since 1995

Mr. Hom Bdr. Purja Mr. Prem Prasad Poudel Mrs. Sabitri Khatri Chhetri Vice-Chair Person General Secretary Treasurer

Mr. Jit Bahadur Nepali Mrs. Hira Kumari Hamal Mr. Bishwa Prakash Prasai Secretary Board of Director Member Secretary

th 24 Annual Report 2017/018 5 VISION:

Establishment of Poverty Free, Inclusive & Prosperous Nepal.

MISSION:

• Sensitizing, unification and income generation of the destitute community by identification and optimal mobilization of local resources. • Capacity building of local community and self reliance group. • Promotion and advancement of self-reliant initiatives, institutional development and professionalism.

GOAL:

• Creating awareness among pro-poor women and disadvantage cast and ethnicity • Community empowerment, improvement in life standard and bring gradual social change by facilitating for income generating sensitizing and union of rural community especially women and destitute. • Inspire the community for human, financial and physical independence and self-reliant by providing complementary support for initiatives that are began in local area. • Promoting peace good governance social justice • Social Service is an alternate profession.

cf}+ 6 @$ jflif{s k|ltj]bg @)&$÷)&% Managements: NESDO Nepal Management is consists of various Departments. There are five different departments operating in NESDO Nepal. Each Department has one department chief with necessary support staffs. A brief description of the major departments of NESDO Nepal is mentioned below. 1. Admin & Finance Department: The admin and finance department of NESDO Nepal works according to the national/ International Accounting standard and uses nation/International Financial Reporting Standard in all financial reporting. Financial and accounting manuals, Policies are reviewed continuously as and when necessary to meet the demand for changes in financial reporting and policies. One Department Head, one junior account officer manages the tasks related to this Department. 2. Microfinance Department: The Department primary responsibility for developing is to create and develop a Microfinance Department, different products and services for as per the need of the clients. At the same time it is responsible assuring its full integration with other activities of NESDO especially to identify and implement cross-strengthening activities in regards to microfinance Program. This department prepare plan for qualitative outreach expansion of microfinance program. . One Department Head, one senior officer manages the tasks related to this Department. 3. Human Resource & Community Development Department: NESDO Nepal provides human resource management and community development support to its 272 staffs connected with different programmers. It Includes recruitment placement, promotion grievance resolution and procurement and management. The overall tasks of this department manage by one department head, one program coordinator and one junior officer. Fighting Against Poverty Since 1995 4. Internal audit Department: NESDO Nepal has two mechanism of internal audit. A board level three members internal audit committee which carryout audit of the head office & randomly cross audit the branch level transaction. The internal audit has been conducted on two parts, one is system or process audit & other is financial audit. One Department Head, one junior officer manages the tasks related to this Department 5. MIS & Planning Department: This department Provide vision and leadership for Developing and Implementing Information Technology Initiatives that Align with the Mission of NESDO. This department lead IT Strategic & Operational Planning to achieve NESDO goal by Fostering Innovation, Prioritizing it Initiatives and Co-coordinating the evaluation, Development and Management of Current and Future IT System across the Organization. At the same

th 24 Annual Report 2017/018 7 time Provide help-desk and on-site technical support of hardware and software to the Head Office and Branch Office Staff, Develop & Maintain an Appropriate IT Organizational Structure that Support the needs of the Organization. This department is Responsible for overall aspect of the information Technology and System. One Department Head, one junior officer manages the tasks related to this Department. Staff As of 2075 Ashad (2018) NESDO Management Team is supported with 299 regular staff, 16 Head office staffs, 52 Branch Managers, 179 field staff & 52 Branch level support staff. NESDO Nepal always maintained a high standard in the recruitment process through which excellent individual are recruited. Well-structured induction training with an extensive field work at the local level is provided to all the new recruits. Good Governance Practices With regards to good governance practices NESDO Nepal Strictly follows a mechanism that assures the accountability and transparency at all the activities of NRSDO Nepal at all the levels and also ensures that resources are appropriately used according to their intend purpose. NESDO Nepal maintained precise and explicit policies for different activities such as Microfinance operation Policies, Monitoring and internal control policies, Admin& Financial Policies, HR policies, Procurement policies etc. NESDO has a specific delegation of powers and separate independent audit committee to ensure internal control so that any kind of fraud and mistake can be avoided.

ORGANOGRAM General Assembly (Every Year-131 Members)

Parents & Advisory Committee Executive Committee Internal Audit Committee (5 Persons) (Every 3 Year-7 Persons) (3 Persons)

HEAD OFFICE CEO/ED External Inspection byExternal Donor, DAO, DDC Implementing Role ImplementingRole Inspection byExternal NRB Community Admin & Finance ME & Internal Planning & Mgmt. Micro Finance Development Dept. Department Audit Department Inf. System Dept. Department

Area Office-5 Int. & External ResourceInt. & External Foundation, Supporting & Backstoping Role ResourceOnly Internal (Proposed) Program/Project Project Office/Team Branch Office 52

Community & Right RH Member Holders 76886

cf}+ 8 @$ jflif{s k|ltj]bg @)&$÷)&% 24 th Annual 2017/018 Report 9

Fighting Against Poverty Since 1995 Working Area of NESDO Nepal NESDO Nepal can operate all over Nepal as per its constitution, For microfinance services this organization gets licensed from Nepal Rastra bank (The Central Bank) to provide microfinance service in 17 districts of Nepal. NESDO is currently operating in Parbat, Maygdi, Kaski, Syangja, Palpa, Lamjung, Gorkha, Tanahu, Baglung, Chitwan, Nawalparasi & Nawalpur. NESDO Nepal is providing microfinance along with other community development activities in the field of social awareness, drinking water, health sanitation and many more in 746 ward of 2 Metropolitan, 37 Municipality & 66 Rural municipality of 17 districts of Nepal. Its Started its microfinance journey from a remote village called Bajung of parbat district in 2000 in six VDCs Bajung, Tilhar, Chuwa, Shivalaya, Chitre & Deurali with a small fund from RMDC. At the end of 2074/2075 (2018) NESDO Nepal has been able to provide its Microfinance service to 76,886 ultra-poor families reside in the remote hilly area of Nepal through its 52 branch offices located in the 17 districts of Nepal.

LEGAL STATUS NESDO Nepal has been registered under Institution Registration Act-2034 in District Administration Office Parbat. It also affiliated to Social Welfare Council. NESDO Nepal for its microfinance activities get licensed under Financial Intermediary Act-2055 from Nepal Rastra Bank (The Central Bank of Nepal). Government Agency/Organization Subject Date Number District Administration Office Parbat Registration 2052/03/07 102/051/052 Social Welfare Council Affiliation 2052/05/27 3222 Nepal Rastra Bank(Central Bank) Permission 2057/07/16 12/057/058 Inland Revenue Office Pokhara PAN 2063/06/26 301978567

cf}+ 10 @$ jflif{s k|ltj]bg @)&$÷)&% Micro enterprise Microfinance Development.

Health, Sanitation Agriculture and Drinking water.

Formal and Income Non formal Generation Education. AREA OF Human resource EXPERTISE Low cost development Housing and advocacy. Fighting Against Poverty Since 1995

Biodiversity Customary and Business Environment Promotion protection.

Community Forestry Social and Natural Mobilization resources Management.

th 24 Annual Report 2017/018 11 Major Inputs in Society

)) Creating Employment opportunity in the society. )) Providing loan facilities in a simply way. )) Providing micro insurance facilities. )) Creating awareness in communities about Education, Health & Sanitaion. )) Encouraging communities for Income generation activities and saving Mobilization. )) Providing Remittance Services. )) Support in Human resources Development and Local Resource management.

Major Outputs

)) Reductrion in unemployment in the local area. )) Employmnet creation and Increase in Income generation activities. )) Participation of dalit, janajait women in the decision making process. )) The living standard and economic condition of the ultra-poor increased. )) Increases access to banking services facilities. )) Redecing in economic exploitation by indigenous Birthday celebration of client money lenders at the local level. )) Helath, Education and sanitation condition of the people increases. )) Increase participation of local communities in Natural resources management and preservation. )) Incesaese in the social economic statue of the rural women. )) Involvement of women in self-employment sector. )) Incerase in School enrolment of Girl Child. )) Reduce in Child Labor in Hazardous industries. Center Meeting

cf}+ 12 @$ jflif{s k|ltj]bg @)&$÷)&% MILESTONES NESDO Nepal Completed 24 years of its operation. NESDO Nepal came into existence to serve the poor, marginalized community of Nepal. Over the years NESDO Nepal has been able to overcome difficulties it faced and developed many economic, social and safety nets, service dedicated towards improving the socio-economic conditions of the poor people. The milestone reached by NESDO Nepal is broadly divided in to three phase. Foundation Phase Microfinance- Program 2052-2057 (1995 to 2000) Specialization Phase • Registered As an NGO. • Depend on Welfare Approach. 2062-to date (2005-to date) • Start Donor based Program/Services. )) Specialized in Microfinance program. • Awareness building of the poor for )) Market survey and need based product enabling them to perform the necessary design. social function. )) Expansion of Microfinance in other districts • Women empowerment through the of Nepal. improvement of Health, Education, Sanitation. )) More Emphasis on Microfinance than • Self-helppromotion. Donor Based Program • Depend on donor based project/program. )) Capacity Development trainings Started • Feel lack of sustainability in donor based for staff. program. )) Different Welfare scheme introduced for Reformative Phase clients. 2057-2062 (2000-2005) )) Expansion of Program in the remote hilly ™™ Get License from NRB, (The central Bank of area. Nepal) for Microfinance. )) Improvement in the service delivery ™™ During this period Lon term Donor based system. program started in the local communities. )) Introduce Low cost Housing program for ™™ Microfinance Program dominatedby the ultra-poor families.

Donor based program. Fighting Against Poverty Since 1995 ™™ Expansion of CDP in other district of Nepal. )) Educational /Foreign employment loan ™™ Microfinance Program confined to Parbat introduce for client’s family member. district only. )) Introduce Remittance service for clients. ™™ Little bit confusion whether to expand )) Health Awareness program was initiated Microfinance program or fully depend on to create awareness among the clients on CDP in the long run. cleanliness and pursuing healthy habit in daily life. )) Microenterprise Loan for male was introduce. )) Established itself as a lead FINGO in the hilly area of Nepal. )) Completed all process for Converting it to “Microfinance Development Bank” )) Credit plus services will be supported by NESDO Nepal to Bank’s clients.

th 24 Annual Report 2017/018 13 THE UNIQUE FEATURES OF NESDO Nepal:

NESDO Nepal has achieved sustainability within a couple of years from the starting of its microfinance activities. The innovative policies of the management and cost effective approaches in all the aspects are the key to make it possible within the shortest possible time. Besides that strong determination of the management was also an important factor for attaining self-sufficiency with a steady growth.

Following are the few unique features of NESDO Nepal. • Dynamic and forward looking leadership. • Self-explanatory written working manual. • Specialization in microfinance and rapid expansion policy. • Transparent and faster recruitment procedure. • Follow on the job training approach. • Simple and cost effective branch Income generation activities by clients structure. • All expenditure is standardize with set cost ceilings. • Simple and least hierarchical Organization. • Simple, easy and transparent account and record keeping system. • Decentralization and delegation of authority to the branch official level and participatory process in decision making. • Easy and close communication among officials as well as between officials and clients. • Continuous strong monitoring and supervision from all levels. • Effective Fund Management. • Diversified loan product to meet the client’s need. • Simple and Shorter Loan Processing. • No collateral for providing loan. • Education loan for member’s children. • Special Loan for Natural disaster affected clients. • Health assistant to the clients. • Scholarship Facilities to client’s children. Income generation activities by clients

cf}+ 14 @$ jflif{s k|ltj]bg @)&$÷)&% MICROFINANCE Generally rural poor do not have any access to formal financial organization, ironically because of their poverty. Since its inception in 2052(1995) NESDO Nepal has consistently been trying to address such poor people. NESDO Nepal’s Microfinance Program provides financial inclusion offerings appropriate assistance to help the lower income segment, economically disadvantages, marginalized community and helping them improving their socioeconomic conditions and in turn reducing poverty. NESDO has concentrated in transforming its products and services into more clients’ friendly and responsive initiative to the target people. Numbers of branch offices has been established in the suitable localities making available hassles-free service to the clients at their doorsteps. NESDO Nepal will continue to keep reforming its programs and activities according to the changing necessity of the clients so as to support and strengthen the economy at the bottom level of the socio-economic pyramid. As we all knows that Microfinance playing a crucial role in poverty reduction. At present NESDO Nepal is able to provide Microfinance services to more than 77 thousands ultra poor families reside in the remote hilly area of Nepal through its 52 branch offices located in 17 districts. Over the years more than 10000 thousand clients graduated to micro entrepreneur, which itself a great achievement for NESDO Nepal. In this financial year 2074/2075 (2017-18) member enrolment is quite good and the total member enrolled till now is 76886 and the total number of borrowers is 45420. Features of Microfinance: • Targeted to the Poor • Selection of target family by PWR method. • 7 days Pre-group Training & group rating test. • Personal status analysis & final selection of group members. • Group & centre formation (5 members in a group & 2 to 10 groups in each centre.) • Saving & Credit mobilization, loan utilization analysis.

• Credit plus Program such as Micro insurance, Remittance & Skill Development Fighting Against Poverty Since 1995 trainings to clients. • Simple operating Procedure • Service at Client’s door step. • Transparency In transactions.

Microfinance clients

th 24 Annual Report 2017/018 15 Growth of NESDO’s Microfinance in Different Financial Year.

S. Financial Years Particulars N. 2070/2071 2071/2072 2072/2073 2073/2074 2074/075 1 Districts 11 11 11 11 12 2 Metro/MP/RMP 392 438 501 425 105 3 Branch 34 40 50 52 52 4 Total Staff 167 186 227 273 299 5 Total Field Staff 119 132 162 171 179 6 Total Member 52926 61890 74266 77366 76886 7 Total Borrowers 33719 40160 46645 46769 45420 8 Loan Out Standing 830520339 1187255395 1644065487 1944806532 2173905853 9 Savings 390842375 569453795 797605696 1107019217 1420832723 Products & Services:

NESDO Nepal provides following products and services to its clients 1. Savings Product 2. Loan Product 3. Welfare Scheme 4. Remittance Services

1. SAVING PRODUCTS: Saving is one of an essential component to improve the economic status of clients lending to their poverty alleviation. Making the poor people aware about the significance of saving and creating savings attitude are important operating approaches adopted by NESDO Nepal in its Microfinance Program.

Objective of NESDO Saving Program: • Motivating members to increasingly engage in saving from income out of their income generation activities. • Developing a capital fund for their additional income generation activities. • Assisting ultra-poor clients to attain self sufficiency • Creating a formidable funding source to meet family needs. • Overcoming helplessness in natural or other disasters.

cf}+ 16 @$ jflif{s k|ltj]bg @)&$÷)&% Presently this organization is offering broadly two types of savings 1. Short Term Savings 2. Long Terms Savings )) Group Saving. The aims of NESDO Long term saving is to ensure future financial safety and security of clients )) Personal Saving. family its duration is 5 to 15 years. )) Business Saving. )) Fixed Deposit. )) Center Fund saving. )) Pension Saving.

Features of NESDO Nepal Savings Products S.No Types Product Name Features

• Minimum Balance Rs.50per Month • It is mandatory for member Group Savings • 8% Yearly interest • Can with draw at the time of leaving the group

• Minimum balance Rs.100 per month • It is mandatory for member Short • 8% yearly interest 1 Personal Savings Terms • Members may withdraw from their saving anytime maintaining a balance of at least 10% of their loan out standing • Minimum 1% of loan disbursed • 8% yearly interest Business Saving • Members may withdraw from their saving

anytime maintaining a balance of at least 10% of Fighting Against Poverty Since 1995 their loan out standing • Minimum Balance Rs.20000 • It is optional • 8% to 10% yearly interest based on saving Fixed Deposit Balance. • Period of the saving is fixed as per the mutual understanding between member and office. Long • Members can with draw after the fixed period. 2 terms savings • 4% of loan Disbursed Center fund saving • 8% Yearly Interest • Member can with draw after five years • Minimum Rs.100.Rs.200 & Rs.500 Pension saving • 13.3% Yearly interest (Provisioning) • Member can with draw after Maturity

th 24 Annual Report 2017/018 17 NESDO Pension Saving: Under NESDO Pension saving Scheme a client has to decide in advance whether she is going to deposit the amount for 10 or 15 years. The duration of the saving is for the period of ten to fifteen years. The minimum balance of deposit is Rs.100, Rs200 and Rs.500 depending upon the choice of the client. If a client deposit Rs. 100 she will get Rs. 36000 for Rs. 200 she will get Rs. 72000 and for Rs. 500 she will get Rs. 180000 after 15 years After Maturity if a client says that she/he will not going to receive the lump-sum amount but interested to receive Pension then client depositing Rs. 100 per month will get Rs. 500, Depositing Rs. 200 will get Rs. 1000 and Depositing Rs. 500 will get Rs.2500 per month as pension. There is no age limit for the pension, as long as the client wants to draw the pension she/he can do so. After receiving the pension for some time if a client says that now she/he will not receive the pension amount then she will get the lump- sum amount. If a client wants to withdraw her amount after 10 years then she will get ½ of the lump- sum amount. If a client wants withdraw her/his amount before ten years then she/he will get 5% interest on his deposited amount.

10 Years Scheme 15 Years Scheme Monthly Total S. Total Addition Total Addition Monthly Amount Total Return Monthly Return No Deposit Amount Deposit Amount Pension (Rs.) Amount (Rs.) Pension (Rs.) (Rs.) (Rs.) (Rs.) (Rs.) Amount (Rs.) (Rs.) 1 500 60000 30000 90000 No Pension 90000 90000 180000 2500 2 200 24000 12000 36000 No Pension 36000 36000 72000 1000 3 100 12000 6000 18000 No Pension 18000 18000 36000 500 Speciality of NESDO Saving Program: ™™ Deposit can be withdrawn at any time ™™ Saving services is provided at the clients locality ™™ Interest rate are competitive ™™ NESDO accepts even very small deposit ™™ Transparent accounting ™™ Strong MIS ™™ Compassionate and professional behavior of NESDO Staff.

Income generation activities by clients Income generation activities by clients

cf}+ 18 @$ jflif{s k|ltj]bg @)&$÷)&% Saving Status of NESDO Nepal: The Clients of NESDO Nepal Microfinance deposit their small income in their different saving accounts. The saving ratio to member is quite good in the financial year 2074/2075 (2017/018) and this trend will continue in the coming year too. The saving balance per member is Rs.18479 S. Financial Years Particulars No. 2070/2071 2071/2072 2072/2073 2073/2074 2074/2075 1 Group Saving 45606607 61111221 79088492 116947412 160030623 2 Personal Saving 113802608 194405170 306682773 474378743 648879613 3 Pension Saving 227007439 308550789 405647334 508361639 586585332 4 Center Fund Saving 2436737 2531502 2294353 2468015 18800703 5 Welfare Saving 1988984 2855113 3892744 4863408 6536452 6 Total Saving 390842375 569453795 797605696 1107019217 1420832723 SAVINGS COMPOSITION IN F/Y 2074/075

Growth of Members and Savings Fighting Against Poverty Since 1995 The table below shows the growth trend of members and savings during 2070-075 It also shows trend of geographical expansion of the organization as well. S. Financial Year Component No. 2070/2071 2071/2072 2072/2073 2073/2074 2074/2075 1 Member (by year) 7646 8964 12376 3100 -480 2 Member (Cum) 52926 61890 74266 77366 76886 3 Group(Cum) 10585 12378 14853 15473 15377 4 Center(Cum) 2807 3444 4376 4802 5088 5 Branch(Cum) 34 40 50 52 52 6 District(Cum) 11 11 11 11 12 7 Municipality (Cum) 392 438 501 425 360 8 Savings (by Year) 123057309 178611420 228151901 309413521 313813506 9 Savings (Cum) 390842375 569453795 797605696 1107019217 1420832723

th 24 Annual Report 2017/018 19 MEMBERS GROWTH SAVINGS GROWTH

NESDO NEPAL LOAN PRODUCT

NESDO Nepal continues to keep reforming its loan products according to the changing necessity of the clients so as to support and strength the socio- economic condition of the ultra-poor community. NESDO Nepal has been providing various kinds of loan in different categories without collateral to its clients. At present NESDO Nepal granted a maximum amount of Loan Rs.300000 to its clients based on group guarantee. During this fiscal year 2074/2075 NESDO Nepal disbursed (Rs.4090554187) 4090 million. The Loan Product of NESDO Nepal is broadly divided in to three categories.

A. Productive Loan B. Social Security Loan C. Special Loan

Income generation activities by clients Income generation activities by clients

cf}+ 20 @$ jflif{s k|ltj]bg @)&$÷)&% Loan Product Details S. Loan Size Loan Interest Particulars Product Name No. Min-Max (Rs.) Tenure Rate (P.a) General Loan 50000 to 90000 12 months 20% Productive Agriculture/Livestock Loan 80000 to 150000 18 months 17% 1 Loan Business Loan 90000 to 200000 18 Months 20% Microenterprise Loan 100000 to 300000 30 Months 20% Consumable Loan 50000 12 Months 18% Festival Loan 10000 to 20000 12 Months 16% Social 2 Emergency Loan Up to 20000 12 Months 0-15% Security Loan Senior Citizen Loan Up to 20000 12 Months 15% Educational Loan Up to 100000 12 Months 15% Seasonal Loan 5000 to 30000 12 Months 20% Discipline Member Loan Up to 50000 12 Months 16% Committed Member Loan Up to 30000 12 Months 16% 3 Special Loan Housing Loan Up to 200000 24 Months 18% Natural Calamity Loan Up to 200000 36 Months 16% Greenery Promotion Loan Up to 100000 24 Months 18% Foreign Employment Loan Up to 200000 24 Months 18% The table below shows the loan composition of NESDO Nepal from 2070-2075 S. Financial Year Component No. 2070/2071 2071/2072 2072-2073 2073-2074 2074-2075 1 General Loan 675077026 981664474 1350105271 1603176897 1243956565 2 Seasonal Loan 26759848 25240360 25308856 40935232 47456315 3 Business Loan 36107966 51735524 68587483 111760600 729273055 4 Housing Loan 42407626 64529572 73401382 90955504 87845519 5 Emergency Loan 373148 1088050 5793371 11110191 13435590 6 Festival Loan 49794725 62997415 120869124 86868108 51938809 Total Loan 830520339 1187255395 1644065487 1944806532 2173905853 Fighting Against Poverty Since 1995

LOAN COMPOSITION IN F/Y 2074/075

th 24 Annual Report 2017/018 21 Loan Disbursement, Repayment and Outstanding In Order to reduce poverty NESDO Nepal has been providing various types of loan to its member as per their requirement. The table below shows the growth trend of borrowers and loan outstanding during 2070-2075. During the financial year 2074/2075 NESDO Nepal disbursed (Rs.4090554187) 4090 million with 99.92% recovery rate.

S. Financial Year Component No. 2070/2071 2071/2072 2072-2073 2073-2074 2074-2075 1 Borrowers (by Year) 6304 6441 6485 124 -1349 2 Borrowers (Cum) 33719 40160 46645 46769 45420 3 Loan Disbursed( by Year) 1508809630 2164436100 2994449859 3637342101 4090554187 4 Loan Disbured(Cum) 4289597073 1126274109 9448483032 13085825133 17176379320 5 Loan Recovered( by Year) 1201641877 1807701044 2537639767 3336601056 3861454866 6 Loan Recovered (Cum) 3459076734 5266777778 7804417545 11141018601 15002473467 7 Loan Outstanding(Cum) 830520339 1187255395 1644065487 1944806532 2173905853 8 Repayment Rate 99.98 99.98 99.92 99.86 99.71

GROWTH OF MEMBERS/BORROWERS LOAN DISBURSEMENT/REPAYMENT/OUTSTANDING

Loan by Purpose NESDO Nepal’s Clients receives loan for different purpose. Most of them are related to Retail business, Microenterprise business, Agricultural activities, animal husbandry, Poultry etc. The table below shows the purpose wise loan outstanding. S. Financial Year Purpose No 2070/2071 2071/2072 2072-2073 2073-2074 2074-2075 1 Agriculture/Livestock 182714475 237451079 394575717 466753567 521737404 2 Microenterprise 49831220 83107878 98643929 116688391 130434351 3 Small Business 523227814 771716007 1019320602 1205780049 1347821628 4 Service Business 49831220 59362770 82203274 97240326 108695292 5 Others 24915610 35617661 49321965 58344199 65217178 Total 830520339 1187255395 1644065487 1944806532 2173905853

cf}+ 22 @$ jflif{s k|ltj]bg @)&$÷)&% PURPOSE WISE LOAN COMPOSITION PURPOSE WISE LOAN OUT STANDING

WELFARE SCHEME: 1. Life and House Protection Scheme 2. Loan Security Scheme Life and House Protection Scheme: NESDO Nepal started this fund in 2062.NESDO Nepal observed that most of the members and their family members suffers from various common diseases and spent a lot of money for medical treatment. In most cases they use money from their business or borrow from other source which makes their economic situation worse. Groups members asked to find some solution to address these common problems. We there for came up with the idea of forming a Fund Called Life and House Protection Fund with the joint contribution of NESDO and group member. The main purpose of the creation of the fund is to support group members and their family members in case of Delivery, death, accident etc. Methodology: NESDO Nepal uses its branch offices to implement micro insurance. NESDO Nepal reaches its clients through its branch offices. In case of any claim of death, accident, delivery, natural

disaster etc the clients inform the respective center manager who along with branch manager Fighting Against Poverty Since 1995 investigate the case. In every case groups/center recommendation is necessary to get the claim. At the same time the clients or his/her nominee has to produce necessary document. The branch manager authorized to pay the claim. Premium: Every member of a center has to Pay Rs.100 as premium per year. It is valid for one year only. After the completion of one year if the members do not deposit another premium of Rs.100 then they will not get the benefits. Component: NESDO Nepal’s Micro insurance has 6 components F Maternity Support. F Natural disaster Support F Scholarship support for client’s Children. F Accidental Treatment Support F Family Planning Support F Death • Death of the Member • Death of Member’s husband • Death of family member due to lighting.

th 24 Annual Report 2017/018 23 BENEFIT: S.No Case Benefits Documents Required 1. Maternity Support (for 1st & 2nd child) Rs 1000 each Birth Certificate 2. Members Death* Rs.2500 to Rs.4000 Death certificate 3. Member’s Husband Death* Rs.5000 to Rs.8000 Death Certificate 4. Death by Lightening Rs.1000 Death Certificate 5. Natural Disaster Support Rs 2000 Police/VDC Report 6. Accidental Treatment Support Rs.1000 to Rs.4000 Medical Report 7. Scholarship support for (Girl) * Rs.1500 to Rs.1800 Mark sheet 8. Scholarship support for (Boy) * Rs.1200 to Rs. 1440 Mark sheet 9. Family Planning Support for both Rs. 500 Each Medical Report *Amount paid in case of member/Member’s husband death the support amount will increase Rs.300 per year. *Incase of scholarship support if the client’s children get more than 80%marks in School certificate examination (SEE), Rs.1500 for girl child and Rs1200 for boy and after that up to master level 60% Marks is necessary for getting Rs.1800 for girl and Rs.1440 for boy. PRESENT STATUS: The clients found this product as an important tool for their protection against delivery, accident, and work as safety-nets against disasters. The table below shows the present status. S. No. of Claims Met Amount Paid Component No In 2074-2075 Up to 2075 In 2074-2075 Up to 2075 1. Maternity Support (for 1st & 2nd child) 1517 8648 1517000 8671900 2. Members Death* 121 589 367340 2487910 3. Member’s Husband Death* 330 1527 1877100 6791181 4. Death by Lightening 0 2 0 2000 5. Natural Disaster Support 161 1141 288500 2015600 6. Accidental Treatment Support 6 64 14000 125500 7. Scholarship support 118 1266 176170 1920170 8. Family Planning Support for both 24 83 12000 44000 Total 2277 13320 4252110 22058261

CLIENTS BENEFITED AMOUNT PAID

cf}+ 24 @$ jflif{s k|ltj]bg @)&$÷)&% LOAN SECURITY SCHEME NESDO Nepal started this scheme in 2062. We observe that after the death of the client due to accident or by any reason it is very difficult for the family member to repay the loan. As we disburse the loan on group guaranty the group member also unable to repay the loan of the deceased. The family members as well as the Groups members asked to find some solution to address this problem. We there for came up with the idea of forming a Fund Called Loan Security fund with the joint contribution of NESDO and group member. The main purpose of the creation of the fund is to support group members and their family members in case Members death. In order to get these benefits the nominee of the client has to produce death certificate and center recommendation letter. The member will contribute 1% of the disbursed loan amount and the remaining 99%is contributed by the Organization. During this FY 2074/2075 total loan waived out is Rs.3002382 of 71clients and so far the total loan waived out is Rs.14373380 of 436 clients. Benefits: )) In case of member’s death the remaining installment along with the interest will fully waived out. )) The savings of the deceased will return to his/her the nominee.

Funeral Support by CEO Funeral Support by Branch Manager

REMITTANCE SERVICE: Fighting Against Poverty Since 1995 The remittance has become a formidable input for revitalizing the country’s economy. Especially the rural economy gets a boost when the family members of our clients send money homte. The remittance service is operated through all the branches of NESDO Nepal. For this purpose NESDO Nepal has properly equipped all its branches mostly located in the rural area. The remittance service facilitates the local clients to collect their money from the nearby branch offices of NRESDO Nepal .We are determined to provide quick and reliable remittance services by collaborating with different remittance agency. During this FY 2074-2075 Rs. 28 million was distributed through the remittance service.

th 24 Annual Report 2017/018 25 HUMAN RESOURCES: Efficient human resources is a key to every organization success. It is very much important for every organization to have a good human resource to implement its activities to achieve its goal. NESDO Nepal always give due importance to maintain a high quality of human resource. NESDO Nepal recruits professional staff on a competitive basis through advertisement in the daily newspaper & FM radio. Most of the NESDO Nepal’s fields located in very remote hilly area of Nepal. In spite of that NESDO Nepal’s staffs are maintaining very good performance by their hard work. NESDO Nepal has a good staff performance evaluation system according to whichthe performance of every staff evaluated at the end of every year based on target and achievement. At the end of the year staffs as well as best performing branch office are rewarded for their best performance in different categories. NESDO Nepal always follow an inclusive staff selection process through which women, poor, dalit janajati & BCN candidates has been selected. At present 75% of total staff are female. The staff composition consists of 32% are BCN, 51% are janajati, 11% are dalit & 6% from minority community etc. Pre-service Training: After staff recruitment the Branch manager and the center-manager undergo intensive training on group-management, basic principles of microfinance, saving & credit rules,office management, accounting, reporting and monitoring for eight months.The objective of this training is to develop the capacity of staff so that they can implement the program activities efficiently.After successfullycompleting the training by fulling certain criteria they appointed as the BM/Center-manager of NESDO Nepal. 11 branch manager and 60 center manager were recruited and provided pre-service training in 2074-075. The following table depict the human resource composition of NESDO Nepal. S.No Designation Male Female Total 1 Executive Director 1 - 1 2 Department Chief 3 2 5 3 Senior Officer 1 - 1 4 Program Manager 1 - 1 5 Junior Officer 1 2 3 6 Branch Manger 30 22 52 7 Sr. Account Asst - 1 1 8 Admin Asst 1 1 9 Center Manger 36 143 179 10 Store Keeper - 1 1 11 Runner(Messenger) - 53 53 12 Driver - - - 13 Security 1 - 1 Total 74 225 299

cf}+ 26 @$ jflif{s k|ltj]bg @)&$÷)&% Training, Workshop and Observation

NESDO Nepal Provides training to its own staff for the successful implementation of its microfinance programmes. As we know that NESDO Nepal is specially working with the ultra-poor families and every day the branch manager as well as the center manager interact with the client on different issues in the field level. So the training are intended to enhance their strategic and operational skill with sound understanding on different issues relating to poverty alleviation and income generation of the poor people. At the same time NESDO Nepal sends its official for different training program organized by external agencies. NESDO Nepal organized various training and workshop for it staff and clients. In-house Training and Work Shop Program in FY2074/2075 S. No of Training/Workshop Participant Organizer No Program 1 Annual Progress Review & Planning Workshop 1 66 NESDO Nepal 2 Half Yearly Progress Review Workshop 1 66 NESDO Nepal 3 District level Progress Review Workshop 5 133 NESDO Nepal 4 Quarterly Progress Review Workshop 2 132 NESDO Nepal 5 Pre-Service Training Managerial Level 1 11 NESDO Nepal 6 Pre-Service Training Center Manager Level 1 60 NESDO Nepal 7 Financial Management Training 1 19 NESDO Nepal 8 Microfinance Mgt & Leadership Development 1 13 NESDO Nepal Training 9 Training on Career Prospect In Microfinance 1 32 NESDO Nepal 10 Board Level Interaction Workshop 1 15 NESDO Nepal 11 Financial Literacy Workshop (Naudanda, 3 588 NESDO Nepal Darbang, Beni) Fighting Against Poverty Since 1995

Financial Literacy Campaign Training Inaguration by Anil Shah

Pre-Job Staff Training Pre-Job Staff Training

th 24 Annual Report 2017/018 27 Member's Skill Development Training NESDO Nepal has been providing different types of skill development training for its clients and for its family members for enhancing their functional skill through which they can earn additional income as well as manage their venture effectively and efficiently. These are mainly vegetable and fruits gardening, cutting and tailoring, Cattle rearing, Poultry framing Goat rearing, enterprise development, business management etc.

Exposure Visit NESDO Nepal organizes internal and external exposure visit for its officials in view of sharing knowledge and experiences with the high performing organization in different part of the world. At the same time various national as well as international organization visit NESDO Nepal to observe its activities.

Bangladesh Visit Bangladesh Visit

Internal Visitor Team Internal Visitor Team

cf}+ 28 @$ jflif{s k|ltj]bg @)&$÷)&% FINANCIAL DATA OF NESDO NEPAL FOR THE LAST FIVE YEARS

S. Financial Year Particulars No 2070-071 2071-072 2072-073 2073-074 2074-075 1. Reserves And Funds 263328563 422492843 659146025 943338798 1257953937 2. Borrowings 274582286 334608212 381416768 274508301 245055886 3. Deposit Liabilities 390842375 569453795 797605696 1107019217 1420832723 4. Other liabilities 22838689 25580800 31426479 36363943 37306808 5. Loan Loss Provision 30639463 41730020 43618460 58646084 67198259 Total Capital Liabilities 982231376 1393865670 1913213429 2419876343 3028347614 1. Bank Balance 105357097 151999593 212761803 411276291 744088521 2. Cash Balance 347451 102435 562635 177321 83770 3. Loan Advances 830520339 1187255395 1644065487 1944806532 2154989443 4. Fixed Assets 35760574 39400855 41022472 42439504 42712254 5. Deposit& Advance 8324179 13324466 12957924 19271559 36665250 6. Investment 1388220 1238220 1238220 1238220 49238220 7. Stationery Stock 533516 544706 604891 666916 570155 Total Assets 982231376 1393865670 1913213429 2419876343 3028347614 Financial Year S. Particulars No 2070-071 2071-072 2072-073 2073-074 2074-075 1. Interest Income 132152325 197771524 274383632 347747035 404115367 2. Other Income 35266192 49671997 67744427 84186886 110825285 3. Grant Income 3739032 2515838 1345004 2152785 0 Total Income 171157548 249959359 343473063 434086706 514940652 1. Interest Expenses 52032666 68282302 90866783 119619367 155523612 2. Staff Expenses 36692178 46018884 66512322 85466178 103093290 3. OfficeOperating Expenses 15951539 90394932 101900875 118002377 105293900 4. Provision for Loan loss 9086616 11090557 1888440 15027624 27468585 5. Program Expenditure 3534462 2616208 1106540 2071477 0 6. Depreciation 2645432 4560081 5542300 6435179 6184354

Total Expenditure 119942893 222962964 267817260 346622202 397563742 Fighting Against Poverty Since 1995 Net Surplus/Deficit 51214655 26996395 75655803 87464505 117376910

INCOME & EXPENDITURE TREND

th 24 Annual Report 2017/018 29 Stories to

Sunita|Parbat

Sunita Bogati was born in 2041 in Majphant VDC of Parbat district. There are eight member in her family. Her eight members' family fully depend upon farmimg. It is very difficult for them to meet their both ends. Despite difficulties Sunita completed her high school level and admitted to +2 in a nearby college .Her father always supported her in study. At the age of 19 she got married to Mr.Mahendra of Maygdi district. Mr. Mahendra is also from a farmer’s family. His family depends on farming and they cultivate vegetables and sell them in a nearby market. After marriage sunita lost her father and mother in-law in a quick interval. After in-laws death the joint family of Mahendera separated and there is no income source of Mahendra to maintain his family. Tensions and uncertainties inflicted in her life. The burden of the family further increased as two children born to them. He decided to go abroad for employment, but it was not so easy. Finally they postpone the idea of going abroad and decided to stay in the village for vegetable farming. Due to lack of fund she cannot start her farming as she wished. The commercial bank did not provide loan as they have not sufficient collateral in their name. They got entangled in to a web of hardship, freedom from which could only be found till Sunita meets a NESDO Nepal Staff. It was a sheer chance that matured into success. After listen everything about NESDO Nepal from the branch manager, she felt motivated to become a member of NESDO Nepal. Then she attained the 7 days pre-group training in her village along with other 14 women. After completing the training she takes Rs.20000 loan for vegetable cultivation. She invest the amount in vegetable cultivation that paid up and encouraged her to make more investment in vegetables. Then she took Rs.30000 loan and gradually her loan celling increases to Rs.150000 as per the volume of her business. She prepared organic manure out of domestic waste, unusable parts of fruits and vegetable, debris in kitchen. She used the organic manure in her vegetable which improve the soil fertilities at the same time increase the vegetable production. Now they cultivated various types of vegetable and it also create an employment opportunity for her husband. The demand for their vegetable increase in the market as they use organic manure. Her spirit and believe in herself were raised with NESDO Nepal by her side. Now her family lived in a house that has been well-furnished and has improved latrine facilities. Her two children going to an English boarding school with faces beaming with smiles. The days of old sufferings are now just memories. The Success of Sunita earned for her an elevated status in the locality. NESDO Nepal Beni Branch

cf}+ 30 @$ jflif{s k|ltj]bg @)&$÷)&% SmileSmile

Santa|Walling

Shanta Khand was born in Marlangkot VDC of Syangja District. The entire family of Santa depends upon her father for living. As a farmer it is very difficult for Santa’s father to maintain his seven members' family. As we know poverty irresistible traveller and so it has its reaches to all area including Marlangkot VDC. Due to poverty Shanta was unable to continue her study. At the age of 20 she got married to Chandra Bahadur of jogithum VDC of Syangja district. Her husband did not have any formal education to look for a good job nor is he a skilled worker in any trade. He could not find any employment in the locality or around. That drove him for sundry places to earn something for the family. He then took loan a from the local money lender and go to abroad for earning. But life is not a bed of roses. After spending sometimes in abroad he returns to Nepal with a small amount of money, hard to repay his early loan. Now Shanta felt that Poverty is a perpetual reality for her .She had no idea that this can ever be confronted or eliminated. The burden of the family further increased as a child born to them. Shanta wants to undertake a move that promises a secure future. One day an official from NESDO Nepal passed a piece of information about the prospect of some amount of loan to start a business. Next day she met the NESDO Nepal Staff and asked for help. Fighting Against Poverty Since 1995 The branch Manager clarified every things to Shanta .Shanta has come to learn how to combat this menace with the assistance from an organization like NESDO Nepal. Shatnta understood that she could start a small business in which she has some skill while the family members can also lend some useful hands. The domestic meeting ended up with a “yes” for the receipt of a loan from NESDO Nepal. Then she asked for Rs.20000 loan which was dully granted. After receiving the loan she started a small poultry business. Her husband also help in her business. As her business paid-up, she took additional loan of Rs.150000/ for the expansion of her business. Her business gradually increase and she opened a fresh house in walling market where her husband selling the chicken and meat. In addition to that she started trading of some grocery items from a Kirana stores opened in his house. From then on it’s a story of success rolling on. It is surprising and heartening to observe her spiral success. Shanta is now a well-known person in the locality. Now she lives a life of comfort. Memories of sheer hardship still haunt her from time to time. Now her son doing fairly well in the school. Now Shanta is a source of inspiration for the poor people of the locality. It is the strong determination and willpower of shanta which makes her what she is today. Shanta’s talent of entrepreneurship has now brought smiles to many. NESDO Nepal Walling Branch

th 24 Annual Report 2017/018 31 Community Development Program

From its inception NESDO Nepal has been carried various community development program for the ultra-poor and under privileged communities to uplift there living condition in collaboration with different national and international donor agency. NESDO Nepal has been performing community development activities in various sector like Health & Drinking water, sanitation, education, forestry management and environment protection, agriculture, biodiversity conservation, child labor and many more. Following table shows the community development program implemented by NESDO Nepal. PAST PROGRAM:

S.No Program/Project's Name Started Completed Period Donor/Support 1. HIV/AIDS awareness Program 2053 Sarwan 2056 Posh 4 years WI-Come Ktm. 2. Non-formal Education Program 2053 Posh 2056 Ashad 3 years PACT & HMG 3. Self-Help Promotion Project 2053 Marga 2058 Posh 5 years GTZ/NGO-FP 4. Micro Credit Project for Women 2053 Sarwan 2056 Ashad 3 years ADB/CECI/HMG 5. Rural Infrastructure Dev. Program 2054 Sarwan 2055 Chaitra 2 years GTZ/FFW 6 Bridge Building at Local Level 2054 Aswan 2055 Ashad 2 years HELVETAS/BBLL 7. Sustainable Soil Management Progrom 2054 Sarwan 2057 Ashad 3 Years SDC/SSMP 8. Community Forestry Literacy Prog. 2056 Aswan 2056 Chaitra 9 Month NUKSFP 9. Community D/W, Health & Sanitation Prog. 2055 Sarwan 2057 Chaitra 2 years Water Aid/ NEWAH 10. Water Supply, Health & Sanitation 2054 Baisakh 2062 Ashad 8 years RWSS Fund Board 11. Rural Sanitation Program. 2056 Sarwan 2067 Ashad 7 year FINIDA/DDC 12. Brighter Future Program 2059 Posh 2065 Ashad 6 years World Education 13. Community Forestry Animation 2059 Jestha 2068 Ashad 10 years DFID/LFP-DFO 14. Community School Support Program 2061 Baiskh 2063 Chaitra 2 years WB-CSSP 15. Anti Tobacco Awareness Campaign 2061 Baiskh Continue 8 years RESPHC 16. SM Project and EAP 2063 Sarwan 2070 Ashad 9 years DFID/NSMP, GoN 17. New Nepal-Model Village Porgram 2063 Posh Continue 6 years Inst. Core Fund 18. Customary Business Promotion 2064 Sarwan 2066 Ashad 2 years World Bank/PAF 19. Disable Social Inclusion Program 2064 Posh 2067 Ashad 3 years INF/PFR 20. CAFAAG Re-integration Program 2065 Magh 2068 Ashad 3 years UNCEF/WE 21. Peace Building Support Program 2065 Magh 2068 Ashad 3 years UNCEF/WE 22. RWSS/WASH Program 2067 Sarwan 2069 Ashad 3 years GON/FINIDA 23. EAFS Project 2067 Ashad 2069 Kartik 2 years NRB/UNCDF/ UNDP 24. CFUGs Social Mobilization Program 2068 Bhadra 2069 Ashad 9 Month UK Aid/IFP/RN 25. Micro Enterprise Promotion 2070 Sarwan 2071 Sarwan 9 Month DFID/FINIDA/SDC 26. Social Mobilization Program 2068 Sarwan 2070 Ashad 1 Years DDC/DGLSP 27. MSFP/Micro Enterprise Promotion in CFUGs 2070 Sarwan 2072 Chaitra 2 Years MSFP/Libird

cf}+ 32 @$ jflif{s k|ltj]bg @)&$÷)&% BETTER BRICK NEPAL

The Better Brick Nepal program address labor challenges as well as environment and quality issues in Nepal’s brick industry. It also provides critical input to the construction industry that is among the largest sector of the economy. Many of the workers in the brick industry are children and adult who are bonded by debt. They are subject to extreme harsh lining and working conditions. The prime objectives of this program is to eradicate forced, bounded child labor, uplift their standard of living, improve the working environment in the brick kiln industries of Nepal. For the child education and care early child care and education centre has been established near the brick kiln that provides education and child care to children of the laborer. From its inception NESDO Nepal has been working in child labor sector. NESDO Nepal in collaboration with BBN Implement this program in three brick kiln of Gorkha, Lamjung & Nawalparasi District.

LOW COST HOUSING PROGRAM

NESDO Nepal has been working for affordable housing by providing financial and technical support for poor homeless families. The objective of this program is to provide shelter to poor homeless families with safe water and sanitation facilities. NESDO Nepal Fighting Against Poverty Since 1995 provides housing loan with lower interest rate for those who don’t have a house to live. For low cost sustainable housing we always give emphasis on using locally available resources. At the same time NESDO Nepal provides technical knowledge on low cost housing. In the initial stage Habitat for Humanity International Nepal technically support NESDO Nepal for Low cost housing, now NESDO Nepal continued this initiative with its own resources. In Chitwan NESDO Nepal construct 36 model houses for Clients live in the slums area of Tandi. So far NESDO Nepal provides housing loan and technical support to 10850 ultra-poor families. Status of Low cost housing Program S.No Particulars As on 2075 Ashad 1. No of house Built (Cum) 10850 2. Total Amount Disbursed 46041223037 3. Total Repayment 4516277518 4. Total Amount Out Standing 87845519

th 24 Annual Report 2017/018 33 Health Awareness Program In Nepal the poor and the vulnerable are often suffers from various health problems. Lack of knowledge and information prevent people belonging to poor and illiterate rural households from taking proper measures against even common diseases. This seriously hampers their lives and livelihood as well as earnings. Recurring illness pushes them to fall victim of continuous ill- health. This health problem of the poor is a major challenge to poverty alleviation. The health status of the majority of the rural poor remains a major concern. NESDO with a pledge for making poverty free society pursues a consciousness raising program to reduce health hazard and maintain sound health among its client’s predominately ultra-poor families resides in the remote. This program adopts measures to provide basic knowledge about general and communicable diseases, personal hygiene, child care, maternity care, nutrition and nutritious food. At the same time NESDO Nepal in collaboration with other agency organizes different health camp in the remote area. In such camps general checkup, fever checkup, blood sugar check, blood pressure, eye check, minor operation is carried out. Sometimes free drugs also distributed in such camps. Disaster Management NESDO Nepal identified risk for both natural and man- made disasters in its working area and developed a disaster management plan. In order to cope with the natural disaster like landslide, earthquake, fires, floods NESDO has arrangement for shelters in its working area. During disastrous earthquake in 2072 NESDO Nepal distribute tarpaulin in its working area and its staff helps in the rescue operations. Keeping in mind NESDO Nepal develops a flexible loan product for the required rehabilitation in case of such natural calamities. Conceptually NESDO Nepal does not believe in charity but it does not ignore a rescue and safety operation. From time to time NESDO Nepal trained its staffs and the client’s family member on disaster management for recues work in case of any disaster. Greenery Promotion Program From Its inception NESDO Nepal has been working in the field of greenery promotion. At the same time NESDO Nepal developed a flexible loan product for greenery promotion to its clients. Clients take this loan for the construction of biogas plant, installation of solar panel, improved cooking stove and plantation of herbal plant.

cf}+ 34 @$ jflif{s k|ltj]bg @)&$÷)&% Community Radio Sambridha Nepal (92.6 Mhz) NESDO Nepal established its own radio in 2072. The radio program includes financial news bulletins, promotion of NESDO Nepal's products and services, various programs and activities undertaken by NESDO Nepal and its branch offices in its working area, promoting of client's business and activities and promote the voice, rights of Ultra-poor, under-Privileged, Women Dalit community.

CBOs Promotion Program NESDO Nepal always gives emphasis on promoting community based organization including Groups, local Clubs and child clubs. NESDO Nepal provide financial as well as Non -financial support to these organization. It includes capacity building trainings, equipment support, Institutional Development. Promoting and encouraging the initiation taken by the CBOs in the local level. Using their network for social mobilization. During this financial year NESDO Nepal supported more than 10

CBOs in its working districts. Fighting Against Poverty Since 1995

Automation NESDO Nepal introduce Web based MIS in Head office and Branch offices in 2071 to replace manual MIS.For this purpose NESDO Nepal selected UransTechnology and Derose Technology as implementing partner. Web based MIS will provide the facilities of accessing reports and data through internet from anywhere. Any department can get their report from server. NESDO Nepal established a separate MIS department for the smoothimplementation of this program. MIS Department works in close coordination with the implementing partners for system development and provides different kinds of software and hardware related problems at different levels. All Branch office along with head office of NESDO Nepal Completely transfer all their manual transaction in to electronic MIS.NESDO Nepal planning to keep its own server next year for quick data accessibility.

th 24 Annual Report 2017/018 35 National Education & Social Development Organization, NESDO Nepal Kushma, Parbat Fiscal Year 2075/76 ANNUAL PROGRAM & APPROVE BUDGET Presented by

Mr. Prem Prasad Poudel Mrs. Sabitri Khatri Chhetri General Secretary Treasurer

Program Budget Rs. Broad Sector Program Activities Unit Documentary No. 1 Institutional Audio Video Material No. 1 1950000 Publication Calendar Publication Pcs 50000 Program Cost Day 1 24th General Assembly 630000 Institutional Annual Report No. 500 Governance and Silver Jubilee Program Management Day 3 6300000 Management Celebration Souvenir Publication No. 1000 Board & Mgt Board Meeting Event 12 564000 Committee Meeting Mgt Com. Meeting Event 48 8th Convention of Program Management Day 1 550000 NESDO Election Process Day 7 Sub Total: 11984000 MIS Training Person 21 Management Staff Computer Application Training Person 6 372500 Capacity Building Computer Hardware Training Person 2 Micro Finance ToT Person 21 Leadership Development Training Person 30 Branch Level Staff Branch Management Training Person 30 Capacity Building 1057500 Collateral Loan Mgt Training Person 100 Training Refresher Training Person 65 M. Finance Service Expansion Program Event 3 Quarterly Progress Review Meeting Event 4 Human Workshop & Campaign 3752000 Cluster Level Review Workshop Event 4 Resource MF Conversation Campaign Event 60 Management & Development Annual Review Workshop Event 1 Participation in External Branch Mgt Training Person 5 705000 Training & Workshop Account Management Training Person 3 Financial Mgt Training Person 3 Domestic Observation Tour for CM Person 60 National & International Domestic Observation Tour for B. M. Person 60 2030000 Exposure Visit Observation Tour for Mgt Team Person 20 Bangladesh MF Observation Tour Person 20 National & International BoD & Management Int. Tour Person 12 5435000 Exposure Visit International Workshop Participation Person 5 Guest Welcome Event 10 100000 Total: 13452000

cf}+ 36 @$ jflif{s k|ltj]bg @)&$÷)&% Awareness Material Develop & Print Pcs 3000 Legal Literacy Program 800000 Legal Awareness Program Event 20 Awareness Material Develop & Print Pcs 3000 450000 Anti Tobacco Campaign Health Right Awareness Program Event 20 Scholarship Support No. 200 Blood Donation Support Event 2 Social Welfare Program Health Camp Support Event 2 1190000 Best Student Prize Support No. 50 Institutional Reorganization No. 25 Funeral Support for Staff No. 10 Staff Base Welfare Staff Personality Promotion Support No. 10 1200000 Program Staff Vocational Skill Development Support No. 15 Institutional Mirage Support No. 10 Social Responsibility Media Promotion Renewable Fund No. 1 Media Interaction No. 100 Media Promotion Radio Sambridha Parbat Support No. 1 4100000 Radio Sambridha Pokhara Support No. 1 Community Heath Service Centre No. 1 CBO Promotion & Partnership No. 8 Natural Disaster Support No. 1 CBOs & Social Financial Support for Ambulance (Rotary & 3300000 Campaign Promotion No. 1 Amar Tika) Amar Tika Foundation Partnership No. 1 Religion Tolerance Festival Support Program Event 10 360000 Promotion National Days & Festival Support Event 16 Infrastructural Small Infrastructural Support No. 40 2000000 Development Follow up & Monitoring No 40 Sub Total: 13400000 Total Institutional Governance, Human Resource Development & Social Responsibility: 53176000

Program Budget Particular 16 July'18 This Year 16 July'19 S.No Budget Heading Amount (Rs.)

Total Staff 299 101 400 A. Financial Cost:

Field Staff 179 76 255 1 Interest on Saving 2455000 District 17 10 27 2 Interest on Borrowing 3985000 Metropolitan 2 - 2 3 Interest on P. Saving 1533000 Municipality 37 10 47 4 Service Charge 1000000 Rural Municipality 66 20 88 Sub Total: 8973000 Micro Finance Total Branch 52 4 56 B. Staff Cost: Service Total Centre 5082 444 5526 1 Monthly Salary 36300000 Total Member 76886 12795 89681 2 Allowances 11500000

Total Loanee 45420 27548 72968 Sub Total: 47800000 Fighting Against Poverty Since 1995 Total Saving (000) 1420398 648241 2068635 C. Administration Cost: 73151000 Total Outstanding (000) 2173905 2411419 4585325 D. Provision & Depression: Overdue Loan (000) 44141 (29245) 14898 1 Loan Loss Provision 7500000 Overdue Loanee (000) 1362 (921) 441 2 Staff Leave Provisions 1500000 3 Depression 7500000 During this financial year all the financial transaction will be handed over to NESDO Gratuity Pr Sambridha Laghubitta bitiya Sanstha Ltd., So the target is made on yearly basic and at 4 4000000 ovisions the same time the financial budget is made half yearly basis. Sub Total: 20500000 Total: 12992400 Total Budget of Fiscal Year 2075/76 (Institutional Goveance, HRD, CSR & Financial Activities): 260373000 Income: Assets (Addition during this F. Year): S.No. Income Head Amount (Rs.) 1 Furniture 3696000 1 Interest Income from Loan & Advances 195300000 2 Office Equipment 2575000 2 Interest Income From Bank 3750000 3 Vehicle 47690000 3 Service Charge from Loan 500000000 4 Land 100000000 4. Fund Expenditure Reverse 15000000 5 HO Building Constriction 25000000 5. Other Income 2000000 6 Maintenance 3000000 Total Income: 266050000 Total: 128000000 Net Surplus: 5677000

th 24 Annual Report 2017/018 37 From Suffering to SMILE

cf}+ 38 @$ jflif{s k|ltj]bg @)&$÷)&% 24 th Annual 2017/018 Report 39

Fighting Against Poverty Since 1995 in

NESDOMEDIA Nepal PRINT

cf}+ 40 @$ jflif{s k|ltj]bg @)&$÷)&% NESDO, Nepal Independent Auditor's Report and Audited Financial Statements Fighting Against Poverty Since 1995

Year Ended Ashad 2075

th 24 Annual Report 2017/018 41 FINANCIAL STATEMENTS

Income During FY 2074/2075 the earning of NESDO Nepal is Rs.514.94 million. This income includes Rs.404.11 million from interest on loan and advances, Rs.81.84 million from services charge, Rs.25.71 million from bank interest and Rs.3.28 million from other sources such as selling of pass book, commission from remittance transaction.

Expenditure The total expenditure of NESDO Nepal during FY 2074-2075 was Rs.397.56 million including personnel expenses Rs.103.09 million, office operating expenses Rs.105.29 million .Financial expenses Rs155.52 million ,loan loss provision Rs. 27.46 million and other cost Rs.6.2million. The net surplus at the end of 2074-075 was Rs.117.38 million.

Sources of Fund The total fund of NESDO Nepal for operating its Microfinance services was App.Rs.2961.14 million at the end of FY2074-075.This comprises of retained earnings Rs.1257.95 million (including reserve fund) Rs.1420.83 million from members deposit,Rs.245.05 million from bank and financial institutions and Rs.37.31 million from other sources.

cf}+ 42 @$ jflif{s k|ltj]bg @)&$÷)&% 24 th Annual 2017/018 Report 43

Fighting Against Poverty Since 1995 National Educational & Social Development Organization (NESDO, Nepal) Kushma, Parbat Balance Sheet As at 32 Ashad, 2075 Current Year Previous Year Capital & Liabilities Sch. Amount Rs. Amount Rs. Reserves and Funds 1 1,257,953,937.30 950,529,833.11 Borrowings 2 245,055,886.61 274,508,301.26 Deposit Liabilities 3 1,420,832,723.01 1,107,019,217.00 Other Liabilities 4 37,306,808.95 29,172,906.20 Loan Loss Provisions 5 67,198,259.20 58,646,084.05 Total Capital & Liabilities 3,028,347,615.07 2,419,876,341.62

Current Year Previous Year Assets Sch. Amount Rs. Amount Rs. Bank Balance 6 744,088,522.04 411,276,289.96 Cash Balance 7 83,770.00 177,321.00 Loans & Advances 5 2,154,989,443.00 1,944,806,532.00 Fixed Assets 8 42,712,254.88 42,439,504.15 Deposit, Advances and Receivables 9 36,665,250.04 19,271,558.51 Investment 10 49,238,220.00 1,238,220.00 Stationery Stock 570,155.11 666,916.00 Total Assets 3,028,347,615.07 2,419,876,341.62 Schedule 1 to 19 form part of financial statements.

cf}+ 44 @$ jflif{s k|ltj]bg @)&$÷)&% National Educational & Social Development Organization (NESDO, Nepal) Kushma, Parbat Income and Expenditure Statement For the period from 1st Shrawan 2074 to 32nd Ashad, 2075 INCOME Current Year Previous Year Particulars Sch. Amount Rs. Amount Rs. Interest Income 11 404,115,367.00 347,747,035.00 Other Income 12 110,825,285.48 148,840,216.29 Total 514,940,652.48 496,587,251.29

EXPENDITURE Current Year Previous Year Particulars Sch. Amount Rs. Amount Rs. Interest Expenses 13 155,523,612.69 119,619,366.85 Staff Expenses 14 103,093,290.00 85,466,177.86 Office Operating & Program Expenses 15 105,293,900.54 120,273,855.04 Provisions for Loan Loss 5 27,468,585.15 15,027,623.58 Depreciation 8 6,184,354.43 6,435,179.38 Total 397,563,742.80 346,822,202.71 Net Surplus/Deficit 117,376,909.68 149,765,048.58 Net Surplus/Deficit carried to Reserve & Fund 117,376,909.68 149,765,048.58 Schedule 1 to 19 form part of financial statements. Fighting Against Poverty Since 1995

th 24 Annual Report 2017/018 45 National Educational & Social Development Organization (NESDO, Nepal) Kusma, Parbat Cash Flow Statement As at 32 Ashad, 2075 Current Year Previous Year Particulars Amount Rs. Amount Rs. (a) Cash flow from operating activites Profit for the year before taxation and extraordinary item 117,376,910 149,765,049 Depreciation 6,184,354 6,435,179 Bank Interest - - Fixed Assets Written Off 315,458 6,155 Prior Year Adjustment #REF! Provisions for Loan Loss 27,468,585 15,027,624 Operating profit before working capital changes #REF! 171,234,007 (increase) / decrease in current assets : Loan & Advance (210,182,911) (456,810,092) Deposit & Staff Advance (17,393,692) 366,542 Stationery Stock 96,761 (60,185) increase / (decrease) in current liabilites : Deposit Liabilities 313,813,506 228,151,901 Other Liabilities 8,133,902 5,845,680 Funds 194,877,814 160,997,380 Cash generated from operation 289,345,380 (61,508,774) Net cash flows from operation activities #REF! 109,725,232 (b) Cash flow from Investing activites Purchase of fixed assets (6,943,436) (7,170,072) Investment in Share (48,000,000) - Net Cash flows from investing activites (54,943,436) (7,170,072) (c) Cash flow from financing activites Borrowings (29,452,415) 46,808,556 Net Cash flows from financing activites (29,452,415) 46,808,556 Net increase in cash or cash equivalents #REF! 149,363,717 Cash and cash equivalents at beginning of period 411,453,611 152,102,028 Cash and cash equivalents at end of period 744,172,292 411,453,611 Schedule 1 to 19 form part of financial statements.

cf}+ 46 @$ jflif{s k|ltj]bg @)&$÷)&% National Educational & Social Development Organization (NESDO, Nepal) 24 Schedules to Balance Sheet

th As at 31 Ashad, 2075

Annual 2017/018 Report Schedule 5 CLASSIFICATION OF LOANS & ADVANCES AND BILLS PURCHASE AND PROVISIONING Loans & advances Previous Year Particulars Agricultural & Cottage Small Scale (NRs.) Others Total Livestock Industry Trading 1,930,408,312.00 1. Performing loans 384,201,570 64,033,595 1,451,428,154 234,789,848 2,134,453,168.00 1,930,408,312.00 1.1 Pass 384,201,570 64,033,595 1,451,428,154 234,789,848 2,134,453,168.00 - 1.2 Restructured - - - - - 14,398,220.00 2. Non-performing loans - - 20,536,275 - 20,536,275.00 2,508,947.00 2.1 Sub-standard - - 6,535,515 - 6,535,515.00 4,261,267.00 2.2 Doubtful - - 12,734,244 - 12,734,244.00 7,628,006.00 2.3 Loss - - 1,266,516 - 1,266,516.00 1,944,806,532.00 (A) Total loans 384,201,570 64,033,595 1,471,964,429 234,789,848 2,154,989,443.00 3. Loan loss provision 19,304,083.12 3.1 Pass 1% of good loan 3,842,016 640,336 14,514,282 2,347,898 21,344,531.68 - 3.2 Restructured - - - - - 627,236.75 3.3 Sub-standard - - 1,633,879 - 1,633,878.75 2,130,633.50 3.4 Doubtful - - 6,367,122 - 6,367,122.00 7,628,006.00 3.5 Loss - - 1,266,516 - 1,266,516.00 28,956,124.68 3.6 Additional Provision as required by NESDO 6,531,427 1,088,571 24,974,786 3,991,427 36,586,210.77 58,646,084.05 (B) Total provision 10,373,442 1,728,907 48,756,584 6,339,326 67,198,259.20 4. Provision up to previous year 43,618,460.48 (C) Total provision up to previous year 58,646,084.05 - (D) Written back from previous year's provision 18,916,410.00 15,027,623.58 (E) Additional provision this year 27,468,585.15 15,027,623.58 Net changes in this year 27,468,585.15 1,886,160,447.95 Net loans (A-B) 2,087,791,183.80 47

Fighting Against Poverty Since 1995 cf}+ 48 @$ jflif{s k|ltj]bg @)&$÷)&% 24 th Annual 2017/018 Report 49

Fighting Against Poverty Since 1995 cf}+ 50 @$ jflif{s k|ltj]bg @)&$÷)&% 24 th Annual 2017/018 Report 51

Fighting Against Poverty Since 1995 Financial Literacy Camping 24th Installation Ceremony EventsEvents

Felicitating Ms. Padma Sana Sakya Chairperson MIFAN Nepal

Food Distribution at District Hospital, Parbat Educational Material Support

CEO Participating in RMDC Program

23rd AGM Birauta Cleaning on 24th Installation Ceremony

cf}+ 52 @$ jflif{s k|ltj]bg @)&$÷)&% CEO & MIFAN Team member with Honourable Finance Minister Dr. Yuvaraj Khatiwada

17th Microfinance Day at Beni Branch

24th Installation Ceremony

Annual Progress Review Meeting

Felicitating Mr. Bikash Lamsal Minister for Tourism, Environment & Forest, Province-4 2074/0752074/075

24th Installation Ceremony Inaguration Fighting Against Poverty Since 1995

Felicitating deligates from different sectors

Expousure Visit Team from Mahuli E-Library Opening at Balmandir, Kushma

th 24 Annual Report 2017/018 53 NESDO, NEPAL AT A GLANCE UP to 2075 Kartik (16th Nov 2018) DISCRIPTION A. Coverage 1 No Of Districts Covered 17 2 No of Metropolitan/Municipality/Rural Municipality Covered 105 4 Total No Of Staffs 299 5 Total No Of Field Staff 179 6 Total No Female Staff 225 7 Total Center 3433 8 Total Group 15557 9 Total Member 77785 10 Total Borrowers 45085 B. Savings Mobilization 1 Group Savings 172673550 2 Personal Savings 680141303 3 Center Fund Saving 2425963 4 Pension Savings 628958439 5 Welfare Savings 7121568 1491320823 C. Loan Transaction 1 General Loan 981845233 2 Seasonal Loan 36749499 3 Busines Loan 1113864238 4 Housing Loan 83177093 5 Emergency Loan 14414513 6 Festival Loan 235334402 2465384978 D. Performance Indicators 1 Percentage of saving on Loan Out Standing (%) 60% 2 Repayment Rate (%) 99.71% 4 Member Per Field Staff (No) 434 5 Borrowers Per Field Staff (No) 251 6 Loan Out Standing Per Field Staff (Rs.) 13773100

Public Audit Program MF Clients

cf}+ 54 @$ jflif{s k|ltj]bg @)&$÷)&% HEAD OFFICE MICROFINANCE CENTRAL OFFICE Kushma Municipality-6, New Road, Parbat Pokhara-17, Birauta, Damside Road, Kaski Phone: 067-420229.420060 | Fax-067-420803 Phone: 061-460060,463160 | Fax-460329 E-mail: [email protected] E-mail: [email protected] Website: www.nesdonepal.org Website: www.nesdonepal.org NESDO NEPAL BRANCH OFFICES Brief Branch Status as on 2075 Ashad

No. of Staff : 5 No. of Members : 2068 No. of Borrowers : 770 Total Disbursement : 504576748 Total Repayment : 468708161 Loan Outstanding : 35868587 Total Saving : 37875578 Branch Manager: Mr. Mahadev Gautam Address: Kushma Municipality-6, Parbat Tel: 067-420229

KUSHMA BRANCH TEAM Email: [email protected]

No. of Staff : 5 No. of Members : 2131 No. of Borrowers : 1329 Total Disbursement : 1170328994 Total Repayment : 1081599358 Loan Outstanding : 88729636 Total Saving : 85145031 Branch Manager: Mr. Krishna Psd. Chapagain Fighting Against Poverty Since 1995 Address: Pokhara Metropolitan-9, Kaski Tel: 061-524908

POKHARA BRANCH TEAM Email: [email protected]

No. of Staff : 5 No. of Members : 1996 No. of Borrowers : 1292 Total Disbursement : 700771000 Total Repayment : 628094747 Loan Outstanding : 72676253 Total Saving : 52446335 Branch Manager: Mr. Subash Bhandari Address: Pokhara Metropolitan-27, Kaski Tel: 061-561716

LEKHNATH BRANCH TEAM LEKHNATH Email: [email protected]

th 24 Annual Report 2017/018 55 56 SYANGJA BRANCH TEAM BENI BRANCH TEAM DUMRE BRANCH TEAM DAMAULI BRANCH TEAM Address: BandipurRuralMunicipality-4,Tanahun Branch Manager: Mr. SugatPaudel Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 065-561771 Address: Vyas Municipality-4,Tanahun Branch Manager: Mr. SantoshAdhikari Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 063-420836 Address: PutalibazarMunicipality-1,Syangja Branch Manager: Mr. Dhurba Paudel Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 069-521023 Address: BeniMunicipality-8,Myagdi Branch Manager: Mr. BholanathRegmi Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 065-580186 @$ cf}+ jflif{s k|ltj]bg @)&$÷)&% : 39081261 : 65996309 : 542291691 : 608288000 : 1239 : 1783 : 4 : 57427082 : 75383269 : 626653231 : 702036500 : 1773 : 2750 : 6 : 31157151 : 38150544 : 311059456 : 349210000 : 740 : 1433 : 6 : 58908574 : 64048686 : 607014964 : 671063950 : 1406 : 2523 : 7 DUIPIPLE BRANCH TEAM PALPA BRANCH TEAM WALLING BRANCH TEAM VOTEWODAR BRANCH TEAM 24 th Annual 2017/018 Report Address: Walling Municipality-8,Syangja Branch Manager: Ms.SangitaChhetri Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 066-400123 Address: SundarbazarMunicipality-9,Lamjung Branch Manager: Mr. SantoshKandel Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Mob.: 98460-63433 Address: Madhyanepal Municipality-4, Lamjung Branch Manager: Mr. Rameshwor Tiwari Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 075-520342 Address: Tansen Municipality-4,Palpa Branch Manager: Mr. SumanGhimire Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 063-440593 : 33282592 : 42459605 : 291832895 : 334292500 : 870 : 1600 : 6 : 21596438 : 28367071 : 409922941 : 438290012 : 613 : 1000 : 5 : 15083840 : 21248273 : 206817727 : 228066000 : 509 : 875 : 3 : 48628149 : 54888766 : 492780064 : 547668830 : 1198 : 2213 : 6 57

Fighting Against Poverty Since 1995 58 NAUDANDA BRANCH TEAM BAGLUNG BRANCH TEAM KHAIRENITAR BRANCH TEAM GORKHA BRANCH TEAM Address: SuklagandakiMunicipality-6,Tanahun Branch Manager: Mr. SukBahadurPun Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 064-421475 Address: Gorkha Municipality-8,Gorkha Branch Manager: Mr. LokBahadurPariyar Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 061-414023 Address: Annapurna Rural Municipality-1, Kaski Branch Manager: Ms.LaxmiGaha Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 068-522736 Address: BaglungMunicipality-3, Branch Manager: Mr. SomnidhiRegmi Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 065-570776 @$ cf}+ jflif{s k|ltj]bg @)&$÷)&% : 32916579 : 59178285 : 550823752 : 610002037 : 1100 : 1649 : 5 : 33022951 : 60568243 : 505981257 : 566549500 : 1061 : 1574 : 5 : 17274347 : 19761491 : 209125783 : 228887274 : 559 : 1127 : 3 : 37356926 : 42682170 : 427948945 : 470631115 : 1154 : 2039 : 5 KAWASOTI BRANCH TEAM RAMPUR BRANCH TEAM PATICHAUR BRANCH TEAM BESISAHAR BRANCH TEAM 24 th Annual 2017/018 Report Address: ModiRuralMunicipality-2,Parbat Branch Manager: Ms.NishaThapaMagar Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 066-520808 Address: Besisahar Municipality-7,Lamjung Branch Manager: Mr. Shreekanta Neupane Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 078-541086 Address: KawasotiMunicipality-3, Nawalparasi Branch Manager: Mr. Ramchandra Gautam Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 075-400029 Address: RampurMunicipality-5,Palpa Branch Manager: Mr. SumanKarki Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 067-410085 : 35037691 : 33696987 : 249629838 : 283326825 : 755 : 1933 : 5 : 17361502 : 28343196 : 350930117 : 379273313 : 594 : 1167 : 4 : 41764247 : 83222305 : 632346195 : 715568500 : 1389 : 2231 : 6 : 34452496 : 41768419 : 367945933 : 409714352 : 1064 : 1977 : 5 59

Fighting Against Poverty Since 1995 60 BHARATPUR BRANCH TEAM CHANAULI BRANCH TEAM BARDAGHAT BRANCH TEAM SUNWAL BRANCH TEAM Address: Bardaghat Municipality-4, Nawalparasi Branch Manager: Ms.ManjuBishwakarma Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 078-570509 Address: Sunwal Municipality-4,Nawalparasi Branch Manager: Mr. BuddhaBahadurGhimire Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 056-530893 Address: BharatpurMetropolitan-9, Chitwan Branch Manager: Mr. Arjun Kunwar Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 056-592147 Address: Bharatpur Metropolitan-18, Chitwan Branch Manager: Mr. SugrivKulmi Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 078-580762 @$ cf}+ jflif{s k|ltj]bg @)&$÷)&% : 43900656 : 76170984 : 538409516 : 614580500 : 1450 : 2480 : 7 : 59994188 : 91121409 : 553210091 : 644331500 : 2003 : 2955 : 6 : 45501221 : 85345536 : 470834464 : 556180000 : 1626 : 2147 : 5 : 33257637 : 75884601 : 397963286 : 473852887 : 1197 : 1624 : 5 GALKOT BRANCH TEAM HUWAS BRANCH TEAM ARGALI BRANCH TEAM TANDI BRANCH TEAM 24 th Annual 2017/018 Report Address: Tansen Municipality-14,Palpa Branch Manager: Ms.SunaMalla Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 056-563439 Address: Ratnanagar Municipality-1,Chitwan Branch Manager: Ms.PratimaHamal Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 068-522736 Address: GalkotMunicipality-3,Baglung Branch Manager: Mr. Puran Bagale Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 067-411076 Address: Payau RuralMunicipality-4,Parbat Branch Manager: Ms.SanjuAleRai Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Mob.: 98476-47238 : 21348753 : 31653222 : 209868038 : 241521260 : 791 : 1450 : 4 : 35445603 : 63667406 : 411703594 : 475371000 : 1146 : 1552 : 5 : 26810927 : 41904926 : 267903074 : 309808000 : 926 : 1727 : 5 : 26969814 : 48567557 : 212583943 : 261151500 : 725 : 1599 : 6 61

Fighting Against Poverty Since 1995 62 BHANDARA BRANCH TEAM BIRAUTA BRANCH TEAM BURTIBANG BRANCH TEAM KHARBANG BRANCH TEAM Address: DhorpatanMunicipality-1,Baglung Branch Manager: Ms.PushpaMalla Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 079-412126 Address: Badiguard RuralMunicipality-2,Baglung Branch Manager: Ms.TikaKunwar Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 056-550595 Address: RaptiMunicipality-5,Chitwan Branch Manager: Ms.DhankumariKawar Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 061-464013 Address: Pokhara Metropolitan-17, Kaski Branch Manager: Ms.SangitaThada Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 068-410093 @$ cf}+ jflif{s k|ltj]bg @)&$÷)&% : 22613220 : 32969505 : 216038995 : 249008500 : 959 : 1669 : 5 : 16797284 : 18142396 : 181937104 : 200079500 : 677 : 1173 : 4 : 28030961 : 47994690 : 285766810 : 333761500 : 929 : 1422 : 6 : 35088262 : 39304292 : 263782425 : 303086717 : 745 : 1174 : 4 DARBANG BRANCH TEAM PHALEWAS BRANCH TEAM MUGLING BRANCH TEAM BELATARI BRANCH TEAM 24 th Annual 2017/018 Report Address: Echhakamana Rural Municipality-5, Chitwan Branch Manager: Mr. TikaramDarji Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 078-419089 Address: Pratappur Municipality-9, Nawalparasi Branch Manager: Ms.Shova Joshi Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 069-420003 Address: MalikaRuralMunicipality-6,Myagdi Branch Manager: Mr. Bikash Shrestha Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 067-430043 Address: PhalewasMunicipality-6,Parbat Branch Manager: Mr. Shreeram Chapagain Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 056-540115 : 24857282 : 37206900 : 265717100 : 302904000 : 925 : 1136 : 5 : 25759443 : 47136557 : 204645908 : 251782465 : 1014 : 1934 : 5 : 32294741 : 57843389 : 208908611 : 266752000 : 968 : 1369 : 4 : 23142604 : 27935593 : 143774461 : 171750054 : 794 : 1762 : 4 63

Fighting Against Poverty Since 1995 64 ARUNKHOLA BRANCH TEAM MADHI BRANCH TEAM THAPATHANA BRANCH TEAM LUNKHU BRANCH TEAM Address: PhalewasMunicipality-2,Parbat Branch Manager: Ms.SuminaPun Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Mob.: 98175-67943 Address: Mahasila Municipality-5,Parbat Branch Manager: Mr. SumanNarayan Salmi Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 078-555110 Address: Madhyabindhu Municipality-10,Nawalpur Branch Manager: Ms.BishnuNepali Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 056-501042 Address: MadhiMunicipality-3,Chitwan Branch Manager: Ms.JamunaBhusal Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Mob.: 98677-06981 @$ cf}+ jflif{s k|ltj]bg @)&$÷)&% : 9304492 : 14470712 : 52027255 : 66498000 : 369 : 839 : 4 : 9535767 : 19239023 : 56789477 : 76028500 : 360 : 831 : 4 : 14347875 : 25852860 : 90126140 : 115979000 : 679 : 1203 : 5 : 14503321 : 38534019 : 123588481 : 162122500 : 837 : 1261 : 5 THANTIPOKHARI BRANCH TEAMPARBATIPUR BRANCH TEAM AMARAPURI BRANCH TEAM PARASI BRANCH TEAM 24 th Annual 2017/018 Report Address: GaidakotMunicipality-16,Nawalpur Branch Manager: Ms.SamjhanaRaimajhi Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 078-520611 Address: Ramgram Municipality-3,Nawalparasi Branch Manager: Ms.DewakaGyawali Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 064-400085 Address: Palungtar Municipality-5,Gorkha Branch Manager: Ms.RamkumariK.C. Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Mob.: 98455-19156 Address: Bharatpur Metropolitan-21, Chitwan Branch Manager: Ms.AnjuMalla Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Mob.: 98672-23385 : 21818317 : 52169219 : 129220781 : 181390000 : 906 : 1502 : 4 : 20045463 : 25836848 : 99066526 : 124903374 : 717 : 1611 : 5 : 13156989 : 32408989 : 103372011 : 135781000 : 607 : 947 : 5 : 13967505 : 34822838 : 82592662 : 117415500 : 720 : 1026 : 3 65

Fighting Against Poverty Since 1995 66 BHIMAD BRANCH TEAM DEDGAUN BRANCH TEAM CHAPAKOT BRANCH TEAM GALYANG BRANCH TEAM Address: ChapakotMunicipality-9,Syangja Branch Manager: Ms.JamunaBasyal Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 063-460373 Address: Galyang Municipality-3,Syangja Branch Manager: Ms.KhimkumariThapa Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 065-572352 Address: BhimadMunicipality-6,Tanahun Branch Manager: Mr. Mitra BahadurChhetri Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Mob.: 98465-73963 Address: Bungdikali RuralMunicipality-2,Nawalpur Branch Manager: Mr. HariPrasadGautam Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 063-411125 @$ cf}+ jflif{s k|ltj]bg @)&$÷)&% : 13062648 : 24253077 : 67100925 : 91534000 : 482 : 908 : 5 : 11795310 : 21066450 : 65311550 : 86378000 : 449 : 822 : 4 : 9760221 : 18761145 : 55634355 : 74395500 : 497 : 828 : 4 : 8541908 : 25478469 : 45606031 : 71084500 : 413 : 702 : 4 SETIBENI BRANCH TEAM ARUGHAT BRANCH TEAM GHYALCHOWK BRANCH TEAMKARAPUTAR BRANCH TEAM 24 th Annual 2017/018 Report Address: GandakiRuralMunicipality-8,Gorkha Branch Manager: Mr. LokBahadurSoni Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 066-410158 Address: Madhyanepal Municipality-7, Lamjung Branch Manager: Mr. IndraBahadurHamal Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Mob.: 98570-68574 Address: BihadiRuralMunicipality-6,Parbat Branch Manager: Ms.ManjuNepal Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 064-410175 Address: ArughatMunicipality-9,Gorkha Branch Manager: Mr. SantoshRana Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Email: [email protected] Tel: 010-416080 : 6487981 : 9491199 : 38750301 : 48241500 : 261 : 560 : 3 : 5187890 : 15444994 : 53990006 : 69435000 : 361 : 538 : 5 : 5407028 : 15009399 : 12677601 : 27687000 : 402 : 876 : 3 : 12392623 : 23039043 : 58706457 : 81745500 : 596 : 921 : 5 67

Fighting Against Poverty Since 1995 68 CHHAHARA BRANCH TEAM Best PerformingBranch1st Amarapuri Best PerformingBranch3rdBardaghat CEO BirthdayCelebration BRANCH PERFOMANCE RECOGNIZATION Cultural performanceby Anita Soti&SukB.Pun Best CulturalPerformerMr. Suk Bdr. Pun Email: [email protected] Mob.: 98678-38462 Address: Rainadevichhahara Rural Municipality-4, Palpa Branch Manager: Mr. HomBahadurThapa Total Saving Loan Outstanding Total Repayment Total Disbursement No. ofBorrowers No. ofMembers No. ofStaff Best PerformingBranch2ndDamauli @$ cf}+ jflif{s k|ltj]bg @)&$÷)&% : 4045577 : 12217950 : 10955050 : 23173000 : 426 : 826 : 3 NESDO's Institutional Members List:

S.No Member Type Member's Name Male Female BCN Janajati Dalit Minority 1 Hon. Member Mr. Bishwa Prahash Prasai 2 Hon. Member Ms. Laxmi Kumari Medhasi 3 Hon. Member Ms. Sabitri Khatri Chhetri 4 Hon. Member Mr. Bishwo Bandhu Prasai 5 Hon. Member Mr. Matri Ka Prasad Timilsina 6 Life Member Mr. Ratna Prasad Adhikari 7 Life Member Mr. Debendra Bikram Prasai 8 Life Member Mr. Indraman Khatri 9 Life Member Mr. Dhan Bahadur Medhasi 10 Life Member Ms. Partichhya Rana 11 Life Member Ms. Jog Maya Prasai 12 Life Member Mr. Chandi Prasad Sharma 13 Life Member Mr. Prem Prasad paudel 14 Life Member Mr. Narayan Prasad Prasai 15 Life Member Mr. Karna Bahadur lamichhane 16 Life Member Mr. Bhhudi Prasad Tiwari 17 Life Member Mr. Him Bahadur Paudel 18 Life Member Mr. Debendra Bahadur Medhasi 19 Life Member Mr. Durga Bahadur Medhasi 20 Life Member Mr . Dharma Raj Prasai 21 Life Member Mr. Purna Prasad Prasai 22 Life Member Ms. Batuli Paudel 23 Life Member Ms. Laxmi Kumari Prasai 24 Life Member Mr. Ram Chandra Subedi 25 Life Member Mr.Ghan Bahadur Prasai 26 Life Member Mr.Jhapat Bahadur Prasai 27 Life Member Mr.Yog Raj Giri 28 Life Member Mr. Bhadra Bahadur Prasai 29 Life Member Mr. Dil Bahadur Prasai 30 Life Member Mr. Tarapati Timilisina 31 Life Member Mr. Dharma Prasad Paudel 32 Life Member Ms.Bhima Sunar 33 Life Member Ms.Gita Lamichhane 34 Life Member Mr. Youdhisthira Bhusal 35 Life Member Mr. Lok bahadur Pariyar 36 Life Member Ms. Hira kumari Hamal 37 Life Member Ms. Chandra Kuamri Shahi 38 Life Member Ms. Pabitra Kumari Paudel 39 Life Member Mr. Uttam Prasad Adhikari 40 Life Member Ms. Nanda kumari Prasai 41 Life Member Mr. Dal Bahadur Prasai 42 Life Member Mr. Jaganath Sharma 43 Life Member Mr. Krishna Prasad Jamarkatel 44 Life Member Ms. Dorpati Gurung Fighting Against Poverty Since 1995 45 Life Member Mr. Prem Sharma Paudel 46 Life Member Ms. khim Maya Paija Giri 47 Life Member Mr. Krishna Prasad Chapagain 48 Life Member Mr. Bhumi Raj Sharma 49 Life Member Mr. Hom Bahadur Purja Pun 50 Life Member Mr. Ram Chandra Gautam 51 Life Member Mr. Badri Prasad Mishra 52 Life Member Mr. Sugat Paudel 53 Life Member Ms. Indra Khatri Chhetri 54 Life Member Mr. Chandra Prakash Paudel 55 Life Member Mr. Prem Prasad Paudel 56 Life Member Mr. Om Prasad Upadhaya 57 Life Member Mr. Bishwo Prem Prasai 58 Life Member Ms. Omna Chhetri 59 Life Member Mr. Somnidhi Regmi 60 Life Member Mr. Esori Prasad Sharma 61 Life Member Ms. Durga Kumari Sharma 62 Life Member Ms. Khim Kumari Thapa 63 Life Member Mr. Tikaram Darji 64 Life Member Mr. Yam Bahadur Khatri 65 Life Member Ms. Gumisara Rana 66 Life Member Ms. Muna Bhusal 67 Life Member Ms. Parbati Timilisina 68 Life Member Mr. Debendra ju Thakuri

th 24 Annual Report 2017/018 69 S.No Member Type Member's Name Male Female BCN Janajati Dalit Minority 69 Life Member Mr. Jayaprakash Yadav 70 Life Member Mr. Kamal Prasad Sharma 71 Life Member Ms. Sushma Prasai 72 Life Member Ms. Santoshi Chapagain 73 Life Member Ms. Nirmala Sahi 74 Life Member Ms. Kalpana Hamal 75 Life Member Mr.Tek bahadur Lamichhne 76 Life Member Mr. Tikaram Paudel 77 Life Member Ms. Sangita Thada Magar 78 Life Member Mr. Suk Bahadur Pun 79 Life Member Mr. Bholanath Regmi 80 Life Member Mr. Santosh Adhikari 81 Life Member Mr. Sudeep Prasai 82 General Member Mr. Laxman Hamal 83 General Member Mr. Devraj Giri 84 General Member Mr. Lal bahadur Parja 85 General Member Ms. Prem Kumari Malla 86 General Member Mr. Jit Bahadur Nepali 87 General Member Ms. Rita Devi Kandel Paudel 88 General Member Ms. Soni K.C 89 General Member Ms. Anita Soti 90 General Member Ms. Durga Adhikari 91 General Member Ms. Uma Koirala 92 General Member Ms. Laxmi Gaha Magar 93 General Member Ms. Suna Kumari Malla 94 General Member Ms. Laxmi Pun 95 General Member Mr.Suprim Prasai 96 General Member Mr. Rabin Kumar Chepang 97 General Member Ms. Kesa Pariyar 98 General Member Ms. Rita Kumari Sen 99 General Member Ms. Sanam Begam 100 General Member Mr. Shreeram Chapagain 101 General Member Mr. Jagannath Sharma (Parbat) 102 General Member Ms. Bishnu Nepali 103 General Member Ms. Khagisara Darji 104 General Member Ms. Manju B.K 105 General Member Ms. Nimshree Rana Magar 106 General Member Ms. Sumina Pun 107 General Member Ms. Rita Adhikari 108 General Member Ms. Santoshi Sunwar 109 General Member Ms. Goma Hamal 110 General Member Mr. Mahadev Gautam 111 General Member Mr. Subas Bhandari 112 General Member Ms. Samjhana Rayamajhi 113 General Member Mr. Nirmala Gautam 114 General Member Ms. Dhan Kumari Darji 115 General Member Ms. Nisha Thapa Magar 116 General Member Ms. Devi Thapa Magar 117 General Member Ms. Sanju Ale Rai 118 General Member Ms. Durga Sunwar 119 General Member Ms. Samichaya Rana Magar 120 General Member Ms. Sangita Chhetri 121 General Member Ms. Sharmila Bote 122 General Member Mr. Bhudha Bhadur Ghimire 123 General Member Ms. Pratima Hamal 124 General Member Ms. Anusa Gurung 125 General Member Ms. Saraswati Rai 126 General Member Mr. Sanjib Prasai 127 General Member Ms. Jayanti Gurung 128 General Member Mr. Chhabilal Sharma 129 General Member Ms. Radhika Kunwar 130 General Member Mr. Krishna Kumari B.K. 131 General Member Mr. Prasanta Lamichhane Total: 67 64 94 21 11 5 Percentage: 51 49 71 16 9 4 Membership Strategy: • At the Time of enrolling instutional member emphasis will be given on Janajati, Dalit & Minority Community. • Encouraging Life member from Dalit, Janajati & Minority Community. • Emphasis on member enrolment will be given on unfield business sector

cf}+ 70 @$ jflif{s k|ltj]bg @)&$÷)&% LEGAL DOCUMENTS

Inst. Registration Certificate PAN Fighting Against Poverty Since 1995

NRB Permission

SWC Affliation Tax Exemption Certificate

th 24 Annual Report 2017/018 71 72 Note @$ cf}+ jflif{s k|ltj]bg @)&$÷)&%