What is CIT (Nagarik Lagani Kosh) in Nepal – Complete Guide

What is CIT (Nagarik Lagani Kosh)?

CIT, or Citizen Investment Trust (Nagarik Lagani Kosh), is a government-owned fund in Nepal. It helps Nepali citizens save money safely and plan for the future. The main goal of CIT is to provide secure investment options and support retirement for employees across the country.

CIT collects money from individuals and invests it in low-risk options. Over time, this money grows and earns interest or bonuses for contributors. It is one of the safest and most trusted funds in Nepal because it is fully managed by the government.

Here’s who can invest or contribute:

• Government Employees: Most deposit a fixed amount from their monthly salary.
• Private Company Employees: Can join employee savings schemes.
• Individual Citizens: Anyone looking for a safe investment or retirement fund.
• Employers: Contribute on behalf of their employees in some schemes.

History and Management

CIT was established on 18th March, 1991 (4th Chaitra, 2047B.S) as an autonomous body to give Nepali citizens a structured and safe way to save and invest. Over the years, it has grown to manage pensions, retirement funds, and other savings programs. The government monitors every fund carefully to ensure security and transparency. Contributions are invested in safe options like government bonds, fixed deposits, and select shares, so contributors can earn steady returns.

In short, Nagarik Lagani Kosh is a safe, government-backed fund that helps workers in Nepal protect their savings, earn interest, and plan for a secure future.

Also Read: What is TDS in Nepal?

How CIT Works in Nepal?

CIT (Nagarik Lagani Kosh) works by collecting regular contributions from employees and employers, investing the money safely, and giving interest and bonuses over time. CIT is designed to help workers save money in a structured and safe way. Most employees in Nepal contribute a small part of their monthly salary to the fund. This is called the monthly contribution system. The amount depends on the type of scheme and your salary, but the idea is simple: small monthly savings grow into a bigger sum over time.

Both employees and employers contribute to certain CIT schemes. For example, in government or private employee savings plans, the employee puts a fixed percentage of their salary, and the employer may also add some money. This joint contribution helps the fund grow faster and gives better returns to the employees when they retire or withdraw.

The money collected by CIT is not left idle. It is invested carefully in safe options like government bonds, fixed deposits, and some selected shares. This is called the fund investment and growth model. The government manages these investments to make sure the money grows steadily while staying safe.

How returns, bonuses, and interest are calculated:

• CIT pays annual interest on the total amount in your account.
• Sometimes, it also gives bonus interest from the profits earned in its investments.
• The interest is calculated on your total balance, including monthly contributions and previous interest.
• At the end of each year, your account grows because the interest and bonuses are added.

This system ensures that your small monthly savings can become a significant amount over time. Even if you contribute a little every month, the combination of regular deposits, interest, and bonuses makes your fund grow steadily.

In short, CIT is simple and safe. You deposit a small amount regularly, the government invests it carefully, and you get interest and bonuses. This way, you can plan for retirement, emergencies, or future goals with confidence, knowing your money is secure in Nagarik Lagani Kosh.

CIT Interest Rates in Nepal

CIT (Nagarik Lagani Kosh) offers fixed and relatively safe interest rates across its schemes, making it a trusted choice for long‑term savers. These rates are lower than some high‑risk investments, but they come with strong government backing. CIT also gives bonus interest in some cases, which makes the total earnings more attractive. Compared to typical bank fixed deposits or mutual funds, CIT’s interest is stable and less volatile. However, the final annual return can change based on CIT’s investment performance and profit distribution.

Here are the current CIT interest rates:

Bonus + Interest System

CIT not only pays base interest, but sometimes also gives bonus interest from its annual profits. For example, it recently announced an extra 1.25% bonus for participants in the ESG retirement fund. This bonus makes the effective interest much higher for those contributors.

Factors That Affect CIT’s Annual Interest Rate

1. Profit from Investments: If CIT makes more profit from its investments, it can pay higher bonus interest.
2. Economic Conditions: Interest rates in the market or in government bonds affect how CIT invests.
3. Fund Size: The more money CIT has, the more it can invest in different assets.
4. Policy Decisions: The board of CIT may decide to change rates or reserve some profit for future years.

Benefits of CIT for Nepali Workers

CIT (Nagarik Lagani Kosh) is a safe way for Nepali workers to invest their money. It is supported and managed by the government, so your savings are protected. Many workers use it to plan for the future and make sure they have money when they retire. Besides saving, CIT also offers additional benefits, such as tax benefits and easy withdrawal options. Here are some benefits of investing in CIT for Nepali workers:

1. Safe, Government-backed Investment

When you invest in CIT, your money is protected by the government. This means there is a very low risk compared to private investments. You don’t have to worry about losing your savings. It is one of the safest ways for ordinary workers to grow their money over time. Because it is backed by the government, many people trust it. You can feel secure knowing your hard-earned money is in safe hands.

2. Ideal for Retirement Planning

CIT is perfect if you want to save for retirement. You can contribute regularly while you work and build a good amount for the future. This helps ensure that you have money to live comfortably after you stop working. It teaches the habit of saving over the long term. Even small contributions over many years can grow into a significant amount. This makes retirement less stressful and more secure.

3. Tax Benefits for Contributing Employees

One of the big advantages of CIT is tax savings. The money you contribute may reduce your taxable income. This means you pay less tax while still saving for your future. Tax benefits encourage more people to invest in CIT. It’s a smart way to save money and reduce taxes at the same time. Many workers find this feature very helpful for managing their finances.

4. Easy to Withdraw After Maturity or Retirement

When your CIT investment matures, or when you retire, withdrawing the money is simple. You don’t have to deal with complicated procedures. This makes it convenient for workers who need their savings at the right time. It allows you to plan your finances without stress. Many people like this feature because it provides both security and flexibility. You can use the money for retirement needs, emergencies, or personal goals.

How to Check CIT Balance?

To check your CIT balance, you can use the official CIT website, the mobile app, or visit a CIT office in person. Checking your CIT balance is easier than many people think. You do not have to wait for your salary slip or contact your employer every time. With a few simple steps, you can see your contributions, interest, and bonuses anytime. Whether you prefer digital methods or in-person visits, there is a way for everyone. In this section, we will explain all the options clearly, so you never have to worry about not knowing your balance.

1. Online Portal

CIT has an official online portal where registered users can log in to check their balance. First, you need to create an account using your personal details and CIT account number. Once logged in, you can see your total contributions, interest earned, and any bonuses added. The portal also lets you download account statements for personal records. It is available 24/7 and works on both computers and mobile browsers. This is one of the easiest and most convenient ways to track your fund growth.

2. Mobile App

CIT provides a mobile app named “CIT Smart Mobile App”. After downloading the app, you need to log in with your username and password. The app shows your monthly contributions, total balance, interest, and bonuses. You can also get notifications for updates or changes in your account. It is user-friendly and designed to give instant access without visiting an office. You can also check your balance from the “Nagarik” app. 

3. CIT Office Visit

If you cannot access digital services, you can visit your nearest CIT office. Bring your CIT account details and a valid ID. The staff will provide your current balance and account statement. This method is slower but helpful for those who need personal assistance or face issues online.

CIT Online Registration Process

The CIT online registration process allows employees and individual investors to access their accounts digitally. Once registered, you can check your balance, see interest and bonuses, and manage your account without visiting the office every time. The process is simple, safe, and works for both government and private sector employees.

Step-by-Step Guide:

• Visit the official CIT website. Look for the “Online Registration” section.
• Choose the type of account you want to register, such as employee savings or individual deposit.
• Fill in your personal details, including your full name, date of birth, citizenship number, and contact information.
• Enter your CIT account number if you already have one, or follow instructions to create a new account.
• Submit the required documents.

Required Documents:

• Citizenship certificate or ID card
• Bank Account Details
• Salary Certificate (for employees contributing through the employer)
• Recent passport-sized photo
• Any other document requested by CIT for verification

Username and Password Setup

After submitting your details and documents, you will receive a temporary username and password. Use this to log in to the portal for the first time. You can then create a new password for security. Make sure to keep your login details safe.

Once registration is complete, you can access your account anytime to check your contributions, interest, and bonuses. The online system also allows you to update personal information or request statements without visiting the CIT office.

By completing CIT online registration, you get full control over your Nagarik Lagani Kosh account and can manage your savings in a secure and convenient way

How to Withdraw or Take Loans from CIT?

You can take a loan or withdraw your funds from CIT by being a registered contributor, submitting the right forms, and meeting the eligibility criteria. Repayments and withdrawals can be managed easily through platforms like ConnectIPS.

How to Get a Loan?

• Be a Contributor: You must be a registered participant in a CIT scheme to be eligible for a loan.
• Check Eligibility and Loan Types: Identify the type of loan you want, such as Easy Loan, Housing Loan, or Vehicle Loan, and make sure you meet all eligibility conditions.
• Submit Loan Application: Fill out the official loan application form and submit it to the nearest CIT office or through the online channels if available.
• Loan Approval: CIT will review your application and confirm the sanctioned amount, loan tenure, and interest rate.
• Accept Loan Offer: Once you accept the terms, the approved funds are disbursed to your bank account.

How to Withdraw Funds?

• Pension or Retirement Withdrawal: For the Citizen Pension Scheme, you can receive your pension after reaching the age of 60 and completing at least 15 years of contributions.
• Post-Retirement Withdrawal: After meeting the contribution requirements, you can withdraw your savings from the scheme.
• Loan Disbursement: Approved loan amounts are transferred directly to your bank account.

How to Repay Loans and Manage Funds?

1. Use ConnectIPS: You can repay loans online through ConnectIPS.

2. ConnectIPS Setup:

• Create an account at login.connectips.com
• Link your bank account through your bank
   

3. Make Payment:

• Go to the "Government of Nepal" section → "Semi-Govt. (Sansthan)" → "CIT Payment" → "CIT Loan Repayment"
• Select your bank account, enter your CIT card or old scheme account number, and enter the payment amount.
• Complete the transaction; the payment is credited to your CIT account, and you receive an SMS confirmation.

Other Options

• CIT Money Market Account: Some CIT banks provide accounts that allow deposits, withdrawals, and transfers.
• Withdrawals After Retirement: Once the required contribution period is completed, you can withdraw your savings or start receiving a pension.

CIT Mobile App Guide

The CIT mobile app allows you to check your balance, view contributions, track interest and bonuses, and manage your Nagarik Lagani Kosh account easily from your smartphone. Using the CIT app is one of the easiest ways to stay updated on your savings and loans. You do not need to visit the office or rely on your salary slip every time. The app is designed for both Android and iPhone users and provides secure, real-time access to your account.

Features of the App

• Check your CIT balance anytime.
• View your monthly contributions, interest, and bonuses.
• Track loan applications and repayment status.
• Receive notifications for updates or new deposits.
• Access account statements for printing or downloading.

How to Download the CIT App on Android?

• Open the Google Play Store on your phone.
• Search for “CIT App”.
• Click on “CIT Smart Mobile App”. Install and wait for the download to complete.
• Open the app and log in using your username and password.

Common Login Issues

• Forgot Username or Password: Use the “Forgot Password” option to reset.
• Account Locked: Contact your nearest CIT branch for assistance.
• App Not Opening: Make sure your app is updated to the latest version.
• Wrong Mobile Number: Ensure your number is registered with CIT; otherwise, you may not receive OTPs.

Using the CIT mobile app makes managing your Nagarik Lagani Kosh account fast, safe, and convenient. You can check balances, track loans, and receive notifications anytime, anywhere.