MoF dissolves CDSCL board

KATHMANDU:

Ministry of Finance (MoF) has dissolved the existing board of directors of Central Depository System and Clearing Ltd (CDSCL) and issued instruction for creation of a new one comprising officials of Nepal Stock Exchange (Nepse), the operator of the only stock market in the country.

“An instruction in this regard was issued yesterday,” MoF Spokesperson Krishna Prasad Devkota confirmed, but did not elaborate.

The new board of CDSCL will now be led by Nepse General Manager Sitaram Thapaliya. Three other senior Nepse officials will assume the posts of board members at CDSCL, a subsidiary of Nepse, which came into operation in March 2011 to automate stock trading system in the country.

Although the idea of dissolving CDSCL board was floated quite some time ago, MoF had not formally taken a decision in this regard, as it was mulling over holding consultation with Nepal Rastra Bank (NRB), which holds a stake in Nepse. But it is said the MoF later decided to dissolve the board on its own without consulting NRB.

Source: THT