Citizen Investment Trust (Nagarik Lagani Kosh)

About Citizen Investment Trust (CIT)

Citizen Investment Trust (CIT) is a statutory public financial institution established under the Citizen Investment Trust Act, 2047 (1990 A.D.). Founded on March 18, 1991 (2047 Chaitra 4 B.S.), and commencing formal operations on January 15, 1992 (2048 Magh 1 B.S.), CIT was created to promote a culture of savings, expand investment opportunities for national economic development, manage retirement and social security programs, and contribute to the growth of Nepal's capital market.

Over the years, Citizen Investment Trust has evolved into one of Nepal's leading savings, retirement, investment, and capital market institutions. The Trust serves individuals, government employees, organized institutions, and investors through a broad range of retirement savings schemes, investment products, trustee services, and merchant banking-related activities.

History and Growth

Citizen Investment Trust initially operated from an office near the JCI Building in Thapathali, Kathmandu. In 2010, the organization relocated to its own purpose-built central office in New Baneshwor, located east of the International Convention Centre (ICC), where it continues to operate from a modern, service-oriented facility.

To expand financial accessibility across Nepal, CIT has established branch offices in Biratnagar, Janakpur, Pokhara, Butwal, Surkhet, and Dhangadhi, providing services in all seven provinces.

Since its establishment, the Trust has experienced significant institutional growth. Its paid-up capital has increased from NPR 24 million at inception to NPR 6.80 billion, reflecting its expanding role in Nepal's financial sector and capital market development.

Core Mandate

Under the Citizen Investment Trust Act, 2047, CIT is entrusted with mobilizing savings, managing retirement and social security funds, facilitating long-term investments, and supporting the development of Nepal's financial and capital markets. Its activities are designed to promote financial security for participants while contributing to sustainable economic growth.

Major Functions

Savings and Retirement Programs

Citizen Investment Trust manages a wide range of savings and retirement schemes designed to promote long-term financial security for individuals and organized institutions. Its key responsibilities include:

• Operating contribution-based retirement and social security programs.

• Managing gratuity funds and pension schemes.

• Administering contribution-based term life insurance funds for eligible employees.

• Operating voluntary and mandatory retirement fund programs.

• Managing investor account and retirement savings schemes.

Investment and Financing

CIT mobilizes savings by investing in diversified financial instruments and financing productive sectors of the economy. Its investment and financing activities include:

• Investing in government securities, corporate shares, debentures, and fixed deposits.

• Financing infrastructure projects under public-private partnership (PPP) models.

• Investing in hydropower generation, transmission, and other nationally significant projects.

• Providing term loans, bridge financing, and co-financed loans to eligible institutions.

• Offering share-backed financing and investment-related loan facilities to qualified participants.

Capital Market Services

As an active participant in Nepal's capital market, Citizen Investment Trust provides various trustee, merchant banking, and investment-related services, including:

• Trustee services for corporate debentures.

• Custodian services for securities.

• Escrow agent services.

• Public issue management.

• Underwriting and syndication of public offerings.

• Capital market advisory and consultancy services.

• Supporting capital market development through investment and institutional participation.

Key Savings and Investment Schemes

Citizen Investment Trust operates several long-term savings, retirement, and investment programs, including:

• Employee Savings Growth Retirement Fund (ESGRF)

• Citizen Unit Scheme

• Gratuity and Pension Fund

• Investor Retirement Fund Scheme

• Citizen Pension Scheme for Nepalese citizens

• Term Life Insurance Fund for Nepal Agricultural Research Council (NARC) employees

• Term Life Insurance Fund for Civil Servants, Teachers, Nepal Army, Nepal Police, Armed Police Force, National Investigation Department, and Local Level employees

These programs are designed to encourage disciplined savings, strengthen retirement security, and support long-term wealth creation for participants.

Working Principles

Citizen Investment Trust conducts its operations based on sound financial management, transparency, prudent risk management, and ethical business practices. Its guiding principles include:

• Encouraging Nepali citizens, both within Nepal and abroad, to participate in long-term savings and investment programs.

• Delivering investment trust services through a professional management fee-based model.

• Making investment decisions based on commercial viability, financial discipline, and ethical business practices rather than management control.

• Diversifying investments according to the risk profile and objectives of different savings and investment schemes.

• Prioritizing balanced risk-adjusted returns while safeguarding participants' interests.

• Supporting market stability through responsible participation in Nepal's securities market.

• Maintaining a balanced approach that serves the interests of participants, shareholders, and the Government of Nepal.

• Selecting investment projects based on sound business principles, governance, and long-term sustainability.

Commitment to Nepal's Financial Development

Citizen Investment Trust remains committed to strengthening Nepal's savings culture, expanding retirement security, supporting capital market development, and mobilizing long-term investments for national economic growth. Through prudent fund management, professional investment practices, and customer-focused financial services, CIT continues to play a vital role in Nepal's evolving financial ecosystem.