Young Generation Losing Faith in Nepal’s Stock Market — Can Confidence Be Rebuilt?
Summary
Nepal's stock market faces growing distrust among young investors who view NEPSE as speculative amid transparency and regulatory challenges. Calls for reforms focus on corporate disclosure, new market instruments, financial literacy, and investor protection to rebuild confidence and support economic growth.
Key Points
- Young Nepali investors are losing faith in NEPSE due to lack of transparency, volatility, limited product options, regulatory delays, and inadequate investor education.
- Declining trust leads to lower participation, shorter holding periods, and threatens domestic savings and entrepreneurship funding.
- Key reforms proposed include radical transparency in corporate disclosures, introduction of ETFs and new market products, enhanced financial literacy, and stronger investor protection.
- Digital innovation, including youth-focused mobile apps and fractional investing, is essential to engage the digital generation and rebuild confidence.