Capital Market Sees Growth Amidst Policy Reforms
Summary
Nepal’s capital market gained momentum after the government unveiled a 21-point revival action plan, lifting the NEPSE index and market capitalization over the week. Investors welcomed policy reforms and the reduction in capital gains tax, though trading remained volatile with profit-taking midweek.
Key Points
- The government introduced the 'Capital Market Strengthening and Revival Action Plan-2083' to revive Nepal’s struggling capital market.
- NEPSE rose by 87.73 points over the week, while total market capitalization increased by about 139 billion rupees.
- Investors welcomed the reduced capital gains tax and other reform measures, but remained cautious about implementation.
- The Federation of Nepalese Chambers of Commerce and Industry backed the plan and called for broader market reforms.
