Kathmandu – Suyog Shrestha, Chairman of the Development Bankers Association Nepal, stated that the integrated KYC (Know Your Customer) system introduced in the new budget will make the banking sector more efficient. Speaking at the 3rd Banking Discourse organized by Banking News, he noted that initiatives like KYC could significantly benefit the entire economic sector if implemented through fiscal policy.

He emphasized that while distinguishing between bankers and businesspeople is a complex issue, it is necessary to address it with a long-term vision. Citing global banking practices, he pointed out that in most parts of the world, businesspeople are not typically engaged directly in the banking industry. He argued that for Nepal to progress, there will eventually be a need to clearly separate bankers from entrepreneurs.

Highlighting a pressing concern, Shrestha identified human resources as the most critical issue for both the banking sector and the nation. He expressed deep concern about the increasing trend of youth migration, which he said is having a significant impact across various sectors particularly in banking.

Reflecting on the past, Shrestha shared that in earlier days, people like him were able to remain in Nepal because of employment opportunities in commercial banks. However, the current situation, he noted, is drastically different. He disclosed that according to internal data from Shangri-La Bank, 40% of the employees who resigned in the last month did so in order to go abroad.

Given this alarming trend, he stressed the urgent need to consult and reassess the role of banks in preventing the outflow of skilled youth. He pointed out that while banks and financial institutions often discuss solutions, those discussions don’t always translate into practical outcomes.

“We must be cautious about overextending our employees into tasks beyond their core responsibilities,” he added. “If we don’t manage this wisely with the right technologies, it will disrupt the work-life balance and their personal lives.”