Independent Capital Market Reform Association Wants the Finance Minister to Address These Five Key Tasks for Capital Market Reform

Regarding a long-term fix for capital market issues, the Independent Capital Market Reform Association has submitted a letter addressing the recently appointed Finance Minister Bishnu Prasad Paudel.

In light of the aforementioned, the current economic crisis in Nepal and the myriad irregularities and issues that have caused Nepal's capital market are plainly visible to us. The association has written that the market has reached its highest point due to the resolution of various problems of the capital market during its tenure here, and recently, various problems have reappeared.

According to the Association,“We are disappointed that many demands have not been addressed in the past as there were various problems in the capital markets. so, we would expect the government to address the problems of the capital market in a sustainable manner”.

Here is the list of tasks to be addressed by the Finance Minister in the capital market for the time being:

• The loan limit of 12 crores should be completely lifted.
• The current weighted average rate of 150 percent should be reduced to 100 percent.
• For now, CD Ratio should be canceled and CCD Ratio should be implemented.
• While calculating the weighted average price, the average price of 120 days should be maintained and not 180 days.
• Short-term trading of securities by banks and financial institutions should be stopped.