SEBON Allows Capital Market Firms to Use CSR Funds for Disaster Relief

The Securities Board of Nepal (SEBON) has allowed capital market-related institutions to use their institutional social responsibility (CSR) funds to contribute to the Prime Minister’s Disaster Relief Fund.

The decision follows the devastating flood in the Bhotekoshi River in Rasuwa on Bhadra 10, 2083, which caused significant loss of life and property in river-adjacent areas of Rasuwa, Nuwakot, Dhading, and other affected districts. The Government of Nepal has established the Prime Minister’s Disaster Relief Fund to support disaster response, rescue and relief efforts.

Under the decision, institutions licensed by SEBON, including the Central Depository Company, merchant bankers, credit rating agencies, securities brokers and securities dealers, can deposit funds from their institutional social responsibility funds into the Prime Minister’s Disaster Relief Fund.

SEBON has also decided that, for the time being, the amount contributed to the Prime Minister’s Disaster Relief Fund will be recognized as institutional social responsibility expenditure.

The board has requested eligible capital market institutions to contribute to the relief fund from their CSR allocations, facilitating additional financial resources for rescue, relief and disaster response in the flood-affected areas.