After devastating earthquake of 2015, almost every sector were affected as today's. So there was entrance of new investors. And capital market was the only sector for the investment. That result to the growth of NEPSE index rose by more than 43% in the interval of 3 months.
Similarly Novel Corona virus is leading entire world to the economic crisis. Almost every sector i.e. primary, secondary and tertiary sectors is affected by COVID-19, among them tertiary sector is the most. Tertiary sector includes retail, tourism, banking and entertainment. As per data of 2018, more than 51% of contribution on GDP is from tertiary sector. Mainly hotel industries and tourism sector is not going to come in rise until maturity of COVID-19. Now all the entrepreneurs of these sectors will come to capital market for secure return. At the present context economy is going down but capital market is going up throughout the globe. Other than this, interest rates of Bank and Financial Institution is low. Short term investors are searching platform for the investment. And they will find capital market as the best destination.
As we know that, opportunity comes along with crisis. Seeing the global trend and trend of Nepal after devastating earthquake of 2072 Baisakh 12, there we can find great hope for the growth of NEPSE after lockdown ends.
School of Management,Tribhuvan University