Latest NEPSE News & Share Market Updates
NEPSE Closes Marginally Higher Amidst Declining Turnover, Sectoral Shifts Observed
The Nepal Stock Exchange (NEPSE) index concluded Wednesday's trading session with a marginal gain, defying a day-long bearish trend to close positively. After spending the majority of the trading period in negative territory, the benchmark index managed a slight recovery in the final moments, signaling a degree of resilience among investors. The NEPSE index edged up by 0.55 points, settling at 2642.40. Complementing this, the Sensitive Index, which tracks large-cap companies, saw a rise of 1.39 points. Similarly, the Float Index and Sensitive Float Index also registered modest increases of 0.20 points and 0.48 points, respectively, reflecting a broad-based, albeit minor, upward movement across different market segments. Despite the positive close, the market witnessed a noticeable decline in trading volume compared to the previous day. On Tuesday, the total turnover stood at NPR 4.11 billion. However, Wednesday's session recorded a total transaction value of NPR 3.53 billion, generated from the trading of 8.7 million units of shares across 348 stocks in 43,990 transactions. This reduction in turnover, even with a positive index close, suggests a cautious approach from investors, possibly indicating profit-booking at higher levels or a wait-and-see attitude amidst prevailing market uncertainties. A lower volume on an up day can sometimes raise questions about the sustainability of the rally, pointing towards a lack of strong conviction from institutional or large-scale investors. Individual stock performances provided some notable highlights. Mount Everest Power Development Company (MEPDC) emerged as a star performer, hitting the positive circuit level. Its share price surged by NPR 45, closing at NPR 345. This impressive debut comes just a day after its listing on NEPSE, marking its first regular trading day. Such strong initial performance often attracts significant investor attention, particularly in the hydropower sector, which has seen renewed interest. Another notable gainer was Emerging Nepal, whose share price appreciated by 5.5%, further demonstrating investor confidence in specific growth-oriented companies. Conversely, the 12% ICFC Finance Ltd. Debenture 2083 experienced the sharpest decline of the day, falling by 15%, highlighting the inherent risks associated with certain fixed-income instruments or specific company-related news. In terms of trading activity, NRN Infrastructure & Development led the turnover chart, recording a substantial NPR 31.60 crore in share transactions. This high volume indicates robust investor interest and liquidity in the company's shares. Following closely, Central Finance saw transactions worth approximately NPR 22.50 crore, while Solu Hydropower also registered significant activity, with its turnover exceeding NPR 22 crore. These figures underscore the continued focus of investors on companies within the infrastructure and financial sectors, which often serve as bellwethers for broader economic sentiment. A sectoral analysis revealed a mixed performance across the 13 sub-groups. Five sub-groups ended the day in positive territory, while eight experienced declines. The Investment sub-group was the top performer, registering a significant gain of 2.21%. This strong showing in the investment sector could be attributed to specific portfolio rebalancing or positive outlooks on underlying assets. Other sectors that saw marginal gains included Banking, Finance, Hotels & Tourism, and Mutual Funds. The slight uptick in these key sectors, particularly Banking and Finance, is often seen as a positive sign for overall market stability, given their heavy weighting in the NEPSE index. However, the majority of sectors closing in the red suggests that the market's positive close was driven by a concentrated few, rather than a widespread bullish sentiment. In a separate corporate development announced today, Kamana Sewa Bikas Bank (KSBBL) declared a dividend for its shareholders from the retained earnings of the fiscal year 2082/83. Such announcements are keenly watched by investors as they reflect a company's financial health and commitment to shareholder returns, often influencing stock performance in subsequent trading sessions. Overall, Wednesday's trading session on NEPSE presented a nuanced picture: a last-minute positive close for the main index, but accompanied by reduced trading volumes and a mixed sectoral performance. Investors will likely be scrutinize these trends closely, looking for clearer signals on market direction and the sustainability of recent gains amidst evolving economic conditions.
NAIMA Mobility Expo 2026 Continues to Attract Overwhelming Crowds, Signaling Robust Automotive Market Interest
The NAIMA Mobility Expo 2026, currently underway at Kathmandu's Bhrikutimandap, has continued its impressive run, drawing significant crowds on its second day. Following an overwhelming turnout of over 29,000 visitors on its opening day, Tuesday, thousands more flocked to the exhibition today, underscoring a vibrant and growing interest in Nepal's automotive sector. This sustained enthusiasm highlights the expo's critical role as a barometer for consumer confidence and industry trends. Organized by the Nepal Automobile Importers' Association (NAIMA), the expo serves as a pivotal platform for showcasing the latest advancements in mobility. With 55 distinct brands participating, a remarkable 40 new brands have made their debut at this year's event. This influx of new entrants, particularly in the electric vehicle (EV) segment, reflects the dynamic evolution of the market and the increasing consumer demand for sustainable and technologically advanced transportation solutions. Visitors are not only exploring new models but are also actively engaging with representatives to understand the features, benefits, and financing options available for these cutting-edge vehicles. The expo's popularity is further fueled by the burgeoning interest in electric vehicles across Nepal. As the nation grapples with rising fuel prices and a growing awareness of environmental sustainability, EVs are rapidly gaining traction. The NAIMA Mobility Expo provides an unparalleled opportunity for potential buyers to compare various EV models, learn about charging infrastructure, and understand government incentives, all under one roof. This convenience is a significant draw, simplifying the purchasing process for many first-time EV buyers and those looking to upgrade. Beyond just showcasing vehicles, the expo acts as a comprehensive hub for the entire automotive ecosystem. Attendees can explore a wide array of related services, including financing solutions from various banks and financial institutions, insurance packages, and accessories. This integrated approach ensures that customers receive a holistic experience, making informed decisions about their next vehicle purchase. The presence of numerous new brands also signals robust investment and competition within the industry, which ultimately benefits consumers through greater choice and competitive pricing. The exhibition, slated to run until Shrawan 31st (approximately mid-August 2026), is expected to continue attracting substantial footfall. Its success is a strong indicator of the resilience and potential of Nepal's automotive market, particularly in the context of a global shift towards sustainable mobility. For investors, the sustained interest and the launch of numerous new brands at such a prominent event suggest promising growth trajectories for companies involved in vehicle manufacturing, import, sales, and related services, especially those focused on electric mobility solutions. The expo not only facilitates direct sales but also plays a crucial role in educating the public, fostering innovation, and shaping the future landscape of transportation in Nepal. This event is a clear testament to the evolving preferences of Nepali consumers and the industry's commitment to meeting these demands with diverse and innovative offerings.
Kathmandu Revitalizes Waste-to-Energy Project in Teku, Paving Way for Sustainable Urban Development
Kathmandu Metropolitan City (KMC) has taken a significant step towards sustainable urban development and waste management by initiating the process to reactivate the long-dormant ‘Waste to Energy’ project located in Teku. This crucial move follows the signing of a Memorandum of Understanding (MoU) between KMC and the Alternative Energy Promotion Centre (AEPC), signaling a renewed commitment to transform urban waste into a valuable energy resource. The Teku project, originally constructed with approximately NPR 18 million in support from the European Union, operated for a period before ceasing operations. Its revival is envisioned as a model program, aiming for long-term sustainability and efficiency in waste management. The initiative gained momentum following a proposal by Minister Shrestha, who emphasized the critical need to integrate urban waste management with energy production to foster environmental protection and promote clean energy solutions across the nation. Recent high-level discussions between Minister Shrestha and Kathmandu Metropolitan City's Acting Chief, Sunita Dangol, underscored the urgency of this project. The talks focused on bringing the Teku facility back online within the current fiscal year. Beyond the waste-to-energy initiative, the discussions also encompassed broader urban infrastructure improvements, including the effective management and maintenance of Kathmandu's streetlights, the expansion of solar street lighting, and the implementation of heritage-friendly electrification projects within the city's historical zones. Following these pivotal discussions, Ankita Shah, a board member of the AEPC, played a key coordinating role in facilitating inter-agency collaboration. The AEPC has expressed its readiness to further partner with KMC on future projects related to solar street light expansion, heritage conservation-compatible electrification, and additional waste-to-energy initiatives, highlighting a comprehensive approach to urban sustainability. The recently signed MoU meticulously outlines the responsibilities of both KMC and AEPC concerning the project's reconstruction, operation, eventual transfer, and long-term management. An ambitious target has been set to recommence operations at the Teku facility within the next two months, demonstrating a clear intent for swift execution. The necessary financial resources for the project's rehabilitation will be channeled through AEPC’s ‘Mini Grid Energy Access Program,’ which receives vital support from the World Bank. This program is not new to such endeavors; it has already facilitated the implementation of waste-to-energy projects in seven other municipalities across Nepal and has provided support to over 20 large-scale commercial biogas projects. Furthermore, the AEPC has completed comprehensive feasibility studies for waste-to-energy potential in all municipalities nationwide. In a significant move to secure international funding, a project proposal valued at approximately USD 48 million has been prepared for submission to the Green Climate Fund, currently awaiting approval from the Ministry of Finance. Concurrently, the development of waste-to-energy projects linked to carbon markets under Article 6.2 of the Paris Agreement is also progressing. Addressing the growing challenge of managing biodegradable waste in urban areas, these projects are expected to deliver multifaceted benefits. They will not only enhance the efficiency of waste management but also contribute significantly to the development of a circular economy through the production of biogas and organic fertilizers. The AEPC has also issued calls for expressions of interest to promote small, medium, and large-scale biogas projects across institutional, community, and commercial sectors, further solidifying its commitment to renewable energy and sustainable waste solutions. This revitalization of the Teku project stands as a testament to Nepal's dedication to environmental stewardship and economic innovation, offering a promising outlook for investors keen on sustainable infrastructure development.
Nepal Insurance Authority Tightens Reinsurance Rules, Mandating 30% Local Cession and Bolstering Risk Management
The Nepal Insurance Authority (NIA) has introduced the fourth amendment to its 'Insurer's Reinsurance Directive, 2080', signaling a significant push to bolster the domestic reinsurance market and enhance overall risk management within the Nepalese insurance sector. The latest revisions, effective from Shrawan 24, 2083 (August 8, 2026), introduce stringent new standards for both life and non-life insurance companies, aiming to foster financial stability and reduce capital outflow. A cornerstone of the amended directive is the prioritization of domestic reinsurers. According to Section 8, after an insurer has made its direct cession, a mandatory minimum of 30% of the remaining reinsurance share must be ceded to local reinsurers. This strategic move is designed to retain capital within Nepal and strengthen the capacity and competitiveness of the country's internal reinsurance market. However, certain specialized insurance categories, such as aviation, health, travel, and trekking insurance, are exempt from this specific requirement, acknowledging their unique international risk profiles. Interestingly, while promoting local retention for remaining shares, the directive also outlines a phased reduction plan for *direct* cession to domestic reinsurers. This direct cession, which stood at 10% in the fiscal year 2079/80, is slated to decrease to 2% by FY 2083/84 and will be completely phased out to zero from FY 2084/85 onwards. This dual approach suggests a nuanced strategy: ensuring a baseline for local participation in the *remaining* reinsurance market, while gradually opening up the *direct* cession market to more competitive forces, potentially including international players, over time. Further enhancing financial prudence, the directive introduces stricter limits on risk diversification and retention. Insurance companies are now mandated to retain risks based on their net worth. For life insurance policies, the maximum risk retention per policy is capped at NPR 5 million or 0.5% of the insurer's net worth, whichever is lower. Non-life insurers face a similar restriction, unable to retain more than 5% of their net worth on a single policy. Moreover, non-life insurers are prohibited from placing more than 60% of their total reinsurance portfolio with a single reinsurer, a crucial measure to prevent over-concentration of risk and ensure robust diversification. In a move towards greater corporate governance and transparency, every insurance company is now required to formulate a comprehensive reinsurance policy for each fiscal year. This policy must be approved by the company's Board of Directors before the commencement of the fiscal year and must clearly define the types of reinsurance, the criteria for selecting lead reinsurers, and the claims settlement process. This ensures a structured and accountable approach to reinsurance management. To align with international best practices, the NIA has stipulated that insurers can only engage with reinsurers that possess a minimum rating from internationally recognized rating agencies such as AM Best, S&P, Moody's, or Fitch. Specifically, for treaty reinsurance, the 'leader' reinsurer must hold an AM Best rating of 'A-' or its equivalent. Additionally, all foreign reinsurers and reinsurance brokers operating in Nepal must be duly registered with the Nepal Insurance Authority, ensuring regulatory oversight and compliance. The directive also places a strong emphasis on catastrophe reinsurance, making it mandatory for insurers to secure adequate coverage against large-scale natural disasters or catastrophic events. Non-life insurers, in particular, must ensure their retention capacity for such events does not exceed 10% of their net worth. Any 'cut-through clause,' which allows reinsurers to directly pay policyholders, will now require prior approval from the NIA. The new regulations also mandate the inclusion of reinsurance-related matters in internal audits and require quarterly reinsurance reports to be submitted to the NIA within 15 days of the quarter's end, ensuring continuous monitoring and compliance. With the implementation of this directive, the NIA anticipates a more transparent, organized, and risk-resilient reinsurance management framework for Nepal's insurance sector. These changes are expected to foster a healthier domestic market, enhance investor confidence through improved risk management, and align the Nepalese insurance industry more closely with global standards.
Nepal Establishes Robust Monitoring Mechanism for National Pride Irrigation Projects, Aiming for Timely Completion and Enhanced Accountability
Nepal has initiated a significant step towards enhancing the efficiency and accountability of its crucial national pride irrigation projects. The Department of Water Resources and Irrigation (DWRI) has established a specialized monitoring mechanism designed to meticulously track the physical and financial progress of these vital infrastructure developments, along with other projects under its purview. This move comes as a direct response to long-standing challenges that have plagued these ambitious undertakings, including persistent delays, cost overruns, and difficulties in timely problem resolution during construction phases. The newly implemented mechanism aims to provide a robust framework for oversight, ensuring that these projects, which are fundamental to Nepal's agricultural backbone and overall economic development, are completed within their stipulated timelines, budgets, and quality standards. Through this system, the Ministry of Energy, Water Resources, and Irrigation (MoEWRI), in conjunction with the DWRI, will conduct regular and stringent monitoring. This will encompass on-site progress assessments, detailed evaluations of physical and financial health, adherence to construction schedules, identification of major bottlenecks, and a thorough review of corrective actions taken. A key feature of this initiative is its result-oriented approach. Beyond merely collecting progress reports, the mechanism is designed to proactively identify issues, assign clear responsibilities to relevant bodies, establish definitive deadlines for problem resolution, and ensure rigorous follow-up on all corrective measures. This structured system is expected to foster a greater sense of accountability among all stakeholders involved, from project managers to contractors, thereby mitigating the systemic inefficiencies that have historically hampered these projects. Reinforcing the government's commitment to this endeavor, Minister of Energy, Water Resources, and Irrigation, Biraj Bhakta Shrestha, has already convened a crucial meeting with all project chiefs for the upcoming week. The agenda includes a comprehensive review of current progress and the formulation of future action plans, signaling high-level political will to drive these projects to successful completion. Initially, the monitoring efforts will prioritize six pivotal national pride projects under the department's jurisdiction. These include the Mahakali (Third) Irrigation Project, Rani Jamara Kulariya Irrigation Project, Babai Irrigation Project, Bheri-Babai Diversion Multipurpose Project, Sikta Irrigation Project, and Sunkoshi-Marin Diversion Multipurpose Project. Each of these projects holds immense strategic importance for Nepal, promising to significantly boost agricultural productivity, enhance water resource management, and contribute to energy generation, thereby uplifting rural economies and ensuring food security. For instance, the Bheri-Babai Diversion Multipurpose Project is critical for inter-basin water transfer, aiming to irrigate vast tracts of land in the Banke and Bardiya districts while also generating hydropower. The DWRI has also indicated that data from construction sites of major structures and project offices will be directly integrated into the central monitoring system for continuous review. This real-time data integration will enable prompt decision-making and intervention, preventing minor issues from escalating into major impediments. From an investor's perspective, this development is a positive indicator of the government's commitment to improving governance and project management in large-scale infrastructure. Enhanced transparency, accountability, and efficiency in these national pride projects can instill greater confidence in Nepal's ability to execute major development plans. This, in turn, could signal a more stable and predictable environment for long-term investments, particularly in sectors related to infrastructure, agriculture, and energy. The successful and timely completion of these projects is not just about delivering physical assets but also about building trust, demonstrating effective resource utilization, and laying a stronger foundation for sustainable economic growth in Nepal.
Sudurpaschim Declares Badimalika-Ramaroshan Forest Conservation Area Covering 498.4 Sq. Km.
The Sudurpaschim Provincial Government has officially declared the Badimalika-Ramaroshan Forest Conservation Area, linking the Badimalika area of Bajura with the Ramaroshan area of Achham under a single conservation framework. Speaking at a programme held in Dhangadhi, Chief Minister Kamal Bahadur Shah said the declaration was made in line with the provincial Cabinet decision of August 4. He said the initiative aims to bring the important forests, natural heritage and biodiversity of the two districts under an integrated conservation area. The conservation area has been declared pursuant to Clause 26 (1) of the Sudurpaschim Province Forest Act, 2077. The newly declared conservation area covers parts of Badimalika Municipality-5, 6, 7 and 8 and Tribeni Municipality-5, 6, 7 and 9 in Bajura, along with Mallekh Rural Municipality-1 and 2 and Ramaroshan Rural Municipality-4, 5 and 6 in Achham. Altogether, the conservation area covers 498.4 square kilometres. The provincial government said the initiative will strengthen efforts to protect forests, biodiversity and natural heritage across the two districts. Badimalika is renowned for its religious and natural tourism, while Ramaroshan is known for its scenic landscapes, lakes and rich biodiversity. The provincial government expects the integrated conservation framework to create a foundation for promoting ecotourism alongside the protection of forests and natural resources. Chief Minister Shah emphasized the provincial government's commitment to strengthening conservation of the natural heritage and biodiversity of Badimalika and Ramaroshan. The declaration is also expected to encourage greater cooperation between the local governments of Bajura and Achham in forest conservation, biodiversity protection and tourism development, potentially creating a stronger tourism circuit connecting the two destinations.
Chery Wanda Offers Up to 350 Km Range Electric Vans at NAIMA Nepal Mobility Expo 2026
Chery Wanda is showcasing its smart electric commercial EV vans at the NAIMA Nepal Mobility Expo 2026, being held at Bhrikutimandap, Kathmandu, from August 11 to 16. At Stall No. 16 in Hall D, the company is displaying 11-, 12-, 14- and 16-seater electric vehicles designed for commercial operators, schools and colleges. The models feature CATL batteries, high peak power, enhanced ground clearance and driving ranges of up to 350 km, depending on the variant. The company has also introduced a collateral-free vehicle purchase facility through hire-purchase financing, aimed at making commercial EVs more accessible to customers. The showcased vehicles emphasize modern technology, passenger comfort and environmentally friendly transportation, while expo visitors can explore their specifications, driving range and available financing options.
Proton e.MAS 5 Emerges as Major Attraction at NAIMA Nepal Mobility Expo 2026
The newly launched Proton e.MAS 5 compact electric SUV has emerged as one of the key attractions at the NAIMA Nepal Mobility Expo 2026, where customers can explore and book the vehicle at Stall L-6, Hall B. Introduced in Nepal by official distributor Jagdamba Motors, the EV has reportedly received strong market response and significant attention from visitors since its launch. The e.MAS 5 is the first vehicle in its segment to feature a rear-wheel-drive (RWD) platform, along with a 14.6-inch Full HD display, multi-link independent rear suspension, V2L technology, 375-liter boot space and multiple smart storage compartments. The Premium variant comes with an 85 kW 11-in-1 electric motor, powered tailgate and 360-degree camera. The SUV is available in Prime and Premium variants, priced at Rs. 32.99 lakh and Rs. 36.99 lakh, respectively.
NRN Development Fund Cleared for Landmark NPR 8.5 Billion Foreign Currency IPO, Paving Way for Diaspora Investment
Nepal's capital market is on the cusp of a transformative era, as the NRN Development Fund has finally received the green light to issue a groundbreaking NPR 8.5 billion Initial Public Offering (IPO) denominated in foreign currency. This monumental development, which follows seven years of persistent efforts and the resolution of significant legal and regulatory hurdles, marks a pivotal moment for attracting diaspora investment into the nation's economy. The path for this unprecedented IPO was cleared on Tuesday with crucial amendments to the Securities Registration and Issuance Regulations by the government. These revisions specifically enable the NRN Development Fund to raise a remarkable 85% of its total capital, equivalent to approximately NPR 8.5 billion, directly from Non-Resident Nepalis (NRNs) through this public offering. This deviates significantly from the conventional practice in Nepal, where companies typically issue only 10% to 49% of their shares to the general public. The special provision underscores the government's commitment to leveraging the vast financial potential of the Nepali diaspora for national development. Former NRNA President Kumar Panta lauded this achievement on social media, describing it as the fruitful outcome of seven years of tireless dedication. He expressed strong confidence that this initiative would serve as a cornerstone for Nepal's economic growth and job creation, bridging the gap between global Nepali talent and domestic investment opportunities. The approved capital structure of the NRN Development Fund is designed to ensure broad ownership by the diaspora while maintaining strategic government partnership: * **Non-Resident Nepalis (IPO):** 85% (approximately NPR 8.5 billion) * **Institutional Founders:** 10% * **Government of Nepal:** 5% This structure highlights that the fund will be predominantly owned by Nepalis residing across the globe, with the direct involvement of the Nepal government, fostering a sense of collective ownership and national purpose. Analraj Bhattarai, CEO of the NRN Development Fund, clarified that this IPO is technically distinct from typical public offerings in Nepal, featuring several unique characteristics tailored to international investors: 1. **Rupee Denominated Forex Account:** NRNs will have the flexibility to invest in US Dollars or other foreign currencies. The Nepal Rastra Bank (NRB), the central bank, has established special accounts for this purpose. Investors will remit foreign currency, which will then be converted and denominated in Nepali Rupees for share allocation. This mechanism simplifies the investment process for NRNs by allowing them to transact in their preferred foreign currency while ensuring the capital is utilized in the domestic market. 2. **Repatriation Facility:** A critical concern for foreign investors is the ability to repatriate their investments and dividends. Bhattarai assured that through the special forex accounts opened for this fund, investors will be able to easily repatriate their dividends or proceeds from share sales back into foreign currency. This crucial provision effectively eliminates legal complexities and uncertainties surrounding capital outflow, significantly enhancing investor confidence and making the fund highly attractive to the diaspora. 3. **Diaspora Investment Management System (DIMS):** To effectively reach and facilitate NRNs spread across 177 countries, the fund is developing its proprietary software, DIMS. "Through this system, investors will be able to link their Demat accounts, Permanent Account Numbers (PAN), and bank accounts online from abroad," CEO Bhattarai explained. He anticipates the software will be ready within approximately one month, with partnerships established with 20 commercial banks to ensure widespread accessibility and seamless integration. The fund aims to issue the initial NPR 8.5 billion IPO, targeting a broad base of investors. To ensure inclusivity, a minimum investment threshold of 1,000 units (approximately NPR 100,000 or USD 750) has been set, allowing even small investors to participate. The fund plans to engage 5 to 7 lakh NRNs from 177 countries in this process. CEO Bhattarai stated, "Our goal is to issue the first phase of the IPO by 2026. This is not merely a share issuance; it is a bridge connecting Nepali skills, capital, and technology from abroad to Nepal's productive sectors." Beyond the initial share issuance, the fund has also secured the right to issue 'Diaspora Bonds' in a second phase, which will further expand its capital base. The accumulated capital is earmarked for strategic investments in Nepal's critical sectors, including large-scale infrastructure projects, energy, tourism, and other productive industries. Furthermore, Bhattarai revealed that the government has pledged to involve the fund in certain state-owned projects through 'Government Asset Monetization' initiatives, underscoring the collaborative spirit behind this venture. The proactive approach of the NRN Development Fund is poised to unlock new avenues for foreign investment in Nepal's capital market. If the technological and legal processes proceed as smoothly as CEO Bhattarai anticipates, this initiative will not only bolster Nepal's foreign exchange reserves but also directly align the aspirations of Non-Resident Nepalis with the nation's development trajectory. Upcoming roadshows and the publication of the prospectus in the coming weeks are expected to unveil a more detailed blueprint of this ambitious undertaking. This endeavor represents a significant test for the Nepali economy. Its success is widely expected to pave the way for other foreign investors, demonstrating Nepal's commitment to creating an attractive and secure investment environment. The journey of the NRN Development Fund is anticipated to add a new, dynamic dimension to Nepal's pursuit of economic prosperity, marking a new chapter in its financial landscape.
Trishakti Securities Launches Margin Trading Facility Across 9 Branches, Empowering Investors with Leverage
Trishakti Securities Limited (Stock Broker No. 48) has officially commenced its margin trading facility, marking a significant development for eligible investors in the Nepalese capital market. This strategic initiative is in full compliance with the "Margin Trading Facility Directive, 2082" issued by the Nepal Securities Board (SEBON) and other prevailing regulatory provisions, ensuring a structured and regulated environment for this advanced trading mechanism. Margin trading allows investors to purchase securities by borrowing funds from their broker, using their existing securities as collateral. This facility essentially amplifies an investor's purchasing power, enabling them to take larger positions than they could with their available cash alone. While it offers the potential for magnified returns on successful investments, it inherently carries higher risks, including the possibility of substantial losses if the market moves unfavorably. Therefore, it is a tool best utilized by informed and experienced investors who understand its intricacies and associated risks. SEBON's directive, under which Trishakti Securities is operating, is designed to bring greater sophistication and liquidity to the Nepalese stock market while safeguarding investor interests. It sets clear guidelines for brokers and investors, outlining the framework for eligibility, risk management, and operational procedures. This regulatory oversight is crucial for fostering confidence and ensuring fair practices within the margin trading ecosystem. To avail of this facility, interested investors must meet specific criteria established by both SEBON and Trishakti Securities. These criteria typically include a minimum portfolio size, trading experience, and a clear understanding of the risks involved. Once deemed eligible, investors are required to complete necessary legal and administrative procedures to open a dedicated Margin Trading Account. This process ensures that only qualified individuals who are prepared for the responsibilities of margin trading can participate. In a move to enhance accessibility and convenience for its clientele, Trishakti Securities has made the margin trading facility available not only from its main office in Kathmandu but also from eight strategically located branch offices. These branches include Pokhara, Mahendranagar, Dhangadhi, Hetauda, Butwal, Banepa, Lalitpur, and Bhaktapur. This widespread availability across nine key locations underscores the company's commitment to serving a broader investor base and decentralizing access to advanced trading tools. Prospective margin traders are strongly encouraged to obtain comprehensive information regarding the terms and conditions governing this facility. This includes details on applicable margin limits, interest rates on borrowed funds, the list of eligible securities that can be used as collateral, and the requirements for initial and maintenance margins. Understanding these critical parameters is paramount for making informed trading decisions and managing potential risks effectively. Investors can acquire all necessary details directly from Trishakti Securities' offices. The introduction of margin trading by Trishakti Securities is a positive step towards modernizing the Nepalese capital market, offering investors a new avenue to optimize their investment strategies. As the market continues to evolve, such facilities are vital for increasing market depth, liquidity, and overall investor engagement, contributing to the growth and dynamism of Nepal's financial landscape.
Barun Hydropower Reports Profit Growth, But EPS Dips Post-Right Share Issuance in Q4 FY 2082/83
Barun Hydropower Company Limited (BARUN) has unveiled its unaudited financial results for the fourth quarter of the fiscal year 2082/83, presenting a mixed bag for investors. While the company recorded a commendable increase in its net profit compared to the previous fiscal year's corresponding period, its earnings per share (EPS) experienced a notable decline, primarily due to a significant capital restructuring. For the fiscal year ending Ashar 2083, Barun Hydropower posted a net profit of NPR 23.3 million. This represents a robust 17.69% surge from the NPR 19.8 million reported in the same period of the preceding fiscal year. This positive trajectory in net profit can be largely attributed to two key factors: a healthy increase in electricity sales revenue and a disciplined reduction in financial expenses, showcasing improved operational efficiency and cost management. Delving into the revenue streams, the company's electricity sales revenue climbed by an impressive 12.59%, reaching NPR 109.2 million during the review period. This growth underscores the consistent demand for energy and the company's ability to capitalize on its operational capacity. Furthermore, Barun Hydropower demonstrated effective financial stewardship by reducing its financial expenses by 18.52%, a move that significantly bolstered its bottom line. While the gross profit also saw a healthy increase of 10.61%, the operating profit experienced a slight dip of 2.38%, suggesting that some operational costs might have increased or specific non-financial operational adjustments were made during the period. However, the most significant point of interest for investors lies in the company's earnings per share. Despite the growth in net profit, BARUN's EPS decreased by NPR 1.62, settling at NPR 2.08 for the period. This dilution in per-share earnings is a direct consequence of the company's issuance of 100% right shares. While rights issues are crucial for capital expansion and project development, they inherently increase the number of outstanding shares, thereby spreading the total earnings over a larger equity base and reducing the EPS in the short term. This is a common phenomenon observed in companies undergoing significant capital increases. As of the end of Ashar, Barun Hydropower's per-share net worth stood at NPR 108.19, indicating a healthy asset backing for each share. The company's paid-up capital has expanded to NPR 1.1225 billion, reflecting its growth initiatives, while retained earnings amounted to NPR 55.1 million, providing a cushion for future investments or potential distributions. The price-to-earnings (P/E) ratio, however, remains notably high at 147.58 times. Such a high P/E ratio often suggests that the market has high expectations for the company's future growth potential, or that current earnings are relatively low compared to its market valuation, warranting careful analysis by prospective investors. For investors, these results present a nuanced picture. The increase in net profit and revenue, coupled with reduced financial expenses, highlights the company's fundamental strength and operational improvements. However, the diluted EPS due to the rights issue means that per-share profitability has temporarily decreased. The long-term value proposition for Barun Hydropower will depend on how effectively the additional capital raised through the rights issue is deployed to enhance future generation capacity, improve efficiency, and ultimately translate into sustainable growth in earnings and dividends.
Nepal Republic Media Faces Significant Loss in Q4 FY 2082/83 Amidst Advertising Revenue Decline
Nepal Republic Media Limited (NRM), a prominent player in Nepal's media landscape, has reported a substantial financial setback, plunging into a significant loss for the fourth quarter of the last fiscal year. The unaudited financial statement reveals a challenging period for the company, primarily attributed to a sharp decline in advertising revenue. According to the published figures, NRM recorded a net loss of NPR 30.72 million by the end of the last fiscal year. This marks a stark reversal from the previous fiscal year's corresponding period, where the company had posted a modest profit of NPR 2.466 million. The transition from profit to a considerable loss underscores the severe operational and economic pressures currently impacting the media sector. A primary driver behind this downturn is the significant reduction in the company's overall income. NRM's total revenue plummeted from NPR 180.4 million to NPR 113.6 million during the review period. This substantial drop of approximately 37% in revenue is a critical indicator of the challenges faced by the organization. The company explicitly cited government budget cuts in the public advertising sector as a major contributor to this decline. Government advertisements often represent a stable and significant revenue stream for media houses, and any reduction can have a profound impact on their financial health. Beyond government policies, NRM also noted a general decrease in advertising expenditure from the private sector. This trend reflects broader economic slowdowns or shifts in marketing strategies, where businesses might be tightening their advertising budgets or reallocating funds to digital platforms, further squeezing traditional media outlets. The dual impact of reduced government and private sector advertising has created a formidable hurdle for NRM. The financial statement further details the erosion of profitability across various metrics. The company's total income, which includes other operational revenues, also saw a significant contraction, falling from NPR 99 million to NPR 65.9 million. This indicates that the challenges are not confined solely to advertising but extend to other income-generating activities. Consequently, the operating profit, a key measure of a company's core business efficiency, drastically declined from NPR 49.2 million to a mere NPR 5.099 million. Such a steep fall in operating profit signals that the company's core operations are struggling to cover costs and generate sufficient surplus. From an investor's perspective, these figures present a concerning picture. With a paid-up capital of NPR 967.5 million, the company's retained earnings now stand at a negative NPR 535.5 million. Negative retained earnings indicate that the company has accumulated losses over time that exceed its accumulated profits. This situation can impact the company's ability to distribute dividends in the future, raise capital, and maintain investor confidence. It also suggests that the company might need to undertake significant restructuring or strategic shifts to return to profitability and improve its financial standing. The challenges faced by Nepal Republic Media are emblematic of the broader struggles within the traditional media industry, which is grappling with evolving consumption habits, the rise of digital platforms, and fluctuating advertising markets. For NRM, navigating these headwinds will require innovative strategies, cost optimization, and potentially diversification of revenue streams to ensure long-term sustainability and shareholder value. Investors will be closely watching how the company plans to address these financial pressures and chart a path towards recovery in the upcoming fiscal periods.
Deprosc Laghubitta Achieves Remarkable 71.52% Net Profit Surge in Q4 FY 2082/83, EPS Climbs to Rs. 48.15
Deprosc Laghubitta Bittiya Sanstha Limited (DDBL) has concluded the fiscal year 2082/83 with an impressive financial performance, as revealed in its unaudited fourth-quarter results. The microfinance institution reported a substantial 71.52% year-on-year increase in net profit, reaching a robust Rs. 98.94 Crore. This significant leap from Rs. 57.68 Crore in the corresponding period of the previous fiscal year underscores DDBL's operational efficiency and strategic growth initiatives in a dynamic market environment. The primary catalysts behind this remarkable profit surge were a healthy expansion in net interest income and a notable decline in the cost of funds. DDBL's net interest income, a crucial indicator of a financial institution's core earning capacity, grew by 15.46% year-on-year, touching Rs. 1.18 Arba. This growth highlights the institution's ability to effectively manage its interest-earning assets and interest-bearing liabilities. Concurrently, operating profit also witnessed a significant boost, climbing 57.41% to Rs. 1.43 Arba from Rs. 91.38 Crore a year earlier, further solidifying the institution's operational strength. The enhanced profitability directly translated into improved shareholder value, with the Earnings Per Share (EPS) rising to an impressive Rs. 48.15. This is a substantial increase from Rs. 30.88 reported in the fourth quarter of the previous fiscal year, reflecting a stronger return for investors. On the balance sheet front, DDBL demonstrated consistent growth in its core business activities. Loans and advances, the lifeblood of any microfinance institution, expanded by 8.37% to Rs. 27.28 Arba, indicating a broader reach and increased lending activities. Customer deposits also showed robust growth, increasing by 17.75% to Rs. 12.97 Arba, signifying growing public trust and effective deposit mobilization strategies. Furthermore, the institution's financial health was bolstered by a significant improvement in retained earnings, which soared to Rs. 1.08 Arba from Rs. 59.98 Crore in the previous fiscal year. Reserves also saw a healthy increase of 14.74%, reaching Rs. 1.52 Arba. These figures indicate a stronger capital base and enhanced capacity for future growth and dividend distribution. The decline in the cost of funds by 11.84% to 6.85% from 7.77% played a pivotal role in widening the net interest margin, contributing significantly to the overall profitability. Net worth per share also improved by 11.71% to Rs. 226.87, reflecting the growth in equity value. However, the financial report also highlighted areas that warrant investor attention. Despite the strong earnings growth, DDBL experienced a deterioration in asset quality. The Non-Performing Loan (NPL) ratio increased significantly to 11.30% from 6.49%, signaling a rise in loans that are unlikely to be fully recovered. This trend in NPLs is a critical metric for microfinance institutions, as it directly impacts profitability and future provisioning requirements. Additionally, the Capital Adequacy Ratio (CAR) decreased to 12.50% from 14.96%. While still above regulatory minimums, a declining CAR indicates a weaker capital buffer relative to risk-weighted assets, which could be a point of concern for long-term stability and growth. The impairment charges, which declined by 152.26%, reflect changes in provisioning during the period, potentially indicating a reversal of previous provisions or a re-evaluation of credit risk. Investors will need to scrutinize these figures closely to understand the underlying reasons and their implications for future asset quality management. Based on the quarter-end market price of Rs. 850, DDBL’s price-to-earnings (P/E) ratio stood at 17.65 times, offering a snapshot of its valuation in the market. In conclusion, Deprosc Laghubitta's Q4 FY 2082/83 results present a mixed but largely positive picture. The impressive growth in net profit, net interest income, and EPS demonstrates strong operational performance and effective financial management. However, the rise in NPLs and the decline in CAR highlight the inherent risks in the microfinance sector and the need for robust risk management practices. Investors will be keen to observe how DDBL addresses these asset quality concerns while continuing its growth trajectory in the upcoming fiscal periods.
NIC Asia Capital Proposes Robust 50% Cash Dividend, Sets AGM for Shareholder Approval
NIC Asia Capital Limited, a prominent player in Nepal's capital market, has announced a significant proposal to distribute a 50% cash dividend to its shareholders for the fiscal year 2082/083. This substantial dividend, inclusive of applicable taxes, underscores the company's robust financial performance and its commitment to delivering value to its investors. The decision was made during a recent meeting of the company's Board of Directors, signaling a strong year for the merchant banking arm of NIC Asia Bank. To formally approve this attractive dividend proposal and discuss other crucial corporate matters, NIC Asia Capital has called its 10th Annual General Meeting (AGM). The AGM is scheduled to take place on Friday, Bhadra 26, 2083, commencing at 9:00 AM, at the company's registered office in Thapathali. This meeting is a pivotal event for shareholders, offering them an opportunity to engage directly with the company's management and participate in key decision-making processes. The agenda for the 10th AGM includes a thorough discussion and approval of the Board of Directors' annual report, which will provide a comprehensive overview of the company's operational and financial achievements throughout the fiscal year. Crucially, shareholders will cast their votes to grant final approval for the proposed 50% cash dividend. The distribution of such a high cash dividend is often seen as a strong indicator of a company's healthy liquidity, consistent profitability, and confidence in its future earnings potential, making it particularly appealing to income-focused investors. NIC Asia Capital has been actively working towards enhancing its service delivery through technological innovation, operating under the motto, "No more queues, Capital's services online." This strategic focus aims to make its services more technology-friendly and universally accessible. The company proudly states that it has successfully transitioned the majority of its offerings to an online platform, providing unparalleled convenience and efficiency for its clients. This digital transformation aligns with global trends in financial services, ensuring that investors can manage their portfolios, apply for IPOs, and access other merchant banking services seamlessly from anywhere. As a leading merchant bank in Nepal, NIC Asia Capital plays a vital role in the country's capital market ecosystem. Its services typically include issue management for initial public offerings (IPOs) and rights issues, share registrar services (RTS), portfolio management services (PMS), and depository participant (DP) services. A strong performance and a generous dividend payout from such an institution reflect positively not only on the company itself but also on the broader health and maturity of the Nepalese capital market. For investors, a 50% cash dividend represents a significant return on investment, reinforcing confidence in NIC Asia Capital's management and its ability to generate sustainable profits. This move is likely to further solidify the company's reputation as a reliable and rewarding investment option within the NEPSE landscape. The upcoming AGM will be a key moment for shareholders to formalize these positive developments and look forward to the company's continued growth and innovation in the digital financial space. The commitment to both strong financial returns and technological advancement positions NIC Asia Capital favorably for future success in Nepal's dynamic financial sector.
InDriver Commits to Dialogue with Protesting Riders, Seeks Swift Resolution to Service Disruptions
InDriver, a prominent player in Nepal's burgeoning ride-sharing sector, has officially announced its readiness to engage in constructive dialogue with its protesting riders. This development comes amidst growing concerns over service disruptions caused by ongoing demonstrations, which have inconvenienced both commuters and drivers across the Kathmandu Valley and other major cities. The company, through a statement issued on Tuesday, has earnestly appealed to the striking riders to immediately cease their protest activities, exercise patience, and commit to resolving their grievances through a structured negotiation process. The ride-sharing industry in Nepal has witnessed rapid growth, transforming urban transportation and creating significant employment opportunities. InDriver, known for its unique fare-negotiation model, has carved out a substantial market share. However, like many platforms in the gig economy, it faces challenges related to driver welfare, commission structures, and regulatory clarity. The current unrest highlights these underlying tensions, with riders reportedly demanding better working conditions, fairer commission rates, and improved safety protocols – common points of contention in similar disputes globally. While the specific details of the riders' demands were not fully elaborated in InDriver's public statement, the company acknowledged receiving detailed information via the Ministry of Physical Infrastructure and Transport and the Independent Drivers Foundation Nepal. In response, InDriver has initiated internal discussions to thoroughly review the demands. Director Rita Pokharel, in a signed letter, affirmed the company's commitment to addressing all legitimate concerns. The statement emphasized a multi-stakeholder approach, indicating that InDriver is prepared to coordinate with various key entities including the Ministry of Physical Infrastructure and Transport, the Independent Drivers Foundation Nepal, IOE Pulchowk (likely representing technical or academic insights into urban transport), and even other ride-sharing companies. This collaborative strategy underscores the complexity of the issues at hand and the potential for industry-wide implications. The goal is to achieve a swift and amicable resolution through sustained dialogue. The company has explicitly requested the protesting riders to halt their demonstrations to facilitate the negotiation process. This appeal is crucial, as prolonged strikes not only disrupt daily commutes but also impact the livelihoods of thousands of drivers who depend on the platform for income. For investors, such operational disruptions can signal instability and potential revenue loss, making a swift resolution paramount. The ride-sharing sector, while innovative, operates in a regulatory grey area in many developing economies, including Nepal. This dispute could serve as a catalyst for clearer policy frameworks, potentially influencing future operational guidelines for all ride-sharing platforms. The formal commitment from InDriver to engage in dialogue marks a significant step towards de-escalation. The focus now shifts to the negotiation table, where the specifics of the riders' demands will be discussed and potential solutions explored. The outcome of these talks will not only determine the immediate future of InDriver's operations but could also set a precedent for how ride-sharing companies and their independent contractors interact within Nepal's evolving digital economy. All eyes will be on the stakeholders to ensure a fair and sustainable agreement that benefits drivers, passengers, and the company alike, fostering a more stable and predictable environment for this vital service sector.
Suryajyoti Life Insurance Reports Modest Profit Growth in Q4 FY 2082/83 Amidst Post-Merger Adjustments
Suryajyoti Life Insurance Company Limited (SJLIC) has released its unaudited financial statements for the fourth quarter of the fiscal year 2082/83, revealing a steady, albeit modest, increase in its net profit. The results provide a crucial glimpse into the company's performance following its significant merger, offering insights for investors keen on the life insurance sector's trajectory in Nepal. According to the published figures, SJLIC recorded a net profit of NPR 380.2 million by the end of Ashar (mid-July) of the last fiscal year. This represents an 8.55% increase compared to the NPR 350.2 million net profit reported in the same period of the previous fiscal year. This growth, while not exponential, indicates a stable operational environment and effective management in navigating the competitive landscape and integrating post-merger operations. The company's revenue streams also demonstrated positive momentum during the review period. Net earned premium, a core indicator of an insurance company's business growth, saw a commendable increase of 15.73%. Concurrently, the total income for SJLIC rose by 12.98%. These figures suggest a successful expansion of its policyholder base and effective premium collection strategies, which are vital for long-term sustainability and market share. However, the growth in income was accompanied by a rise in expenditures. Net claim payments increased by 14.08%, reflecting a natural consequence of expanding policy coverage and a growing number of matured policies or claims. Total expenses also saw an uptick of 13.50%. Managing the balance between premium growth, claim payouts, and operational costs is a continuous challenge for insurance providers, and SJLIC's performance indicates a controlled increase in expenses relative to its income growth. From an investor's perspective, the Earnings Per Share (EPS) provides a more granular view of profitability per share. SJLIC's EPS for the review period stood at NPR 7.59. Notably, this figure reflects a decrease of NPR 0.60 compared to the previous period. This apparent contradiction—rising net profit but declining EPS—is largely attributable to the substantial increase in the number of outstanding shares following the merger of Surya Life Insurance and Jyoti Life Insurance. Mergers typically lead to an expanded capital base, which, while strengthening the company, can dilute EPS in the short term until the combined entity fully realizes synergies and boosts overall profitability proportionally. Further valuation metrics show SJLIC's Price-to-Earnings (P/E) ratio at 54.44 times, indicating how much investors are willing to pay for each rupee of earnings. The Net Worth Per Share was reported at NPR 122.68, reflecting the company's intrinsic value per share. These metrics are crucial for investors to assess the company's market valuation relative to its financial health and future growth prospects. SJLIC maintains a robust capital structure, essential for an insurance company's solvency and stability. The company's paid-up capital stands at an impressive NPR 5.01 billion. Furthermore, it has prudently accumulated significant reserves, including NPR 458 million in its catastrophe fund, NPR 609.2 million in retained earnings, and NPR 69.3 million in other equity. These reserves are critical for absorbing unforeseen losses and supporting future growth initiatives, providing a strong foundation for the company's operations. In conclusion, Suryajyoti Life Insurance's Q4 FY 2082/83 results paint a picture of a company in a transitional phase, successfully integrating its merged entities while demonstrating modest profit growth. The increase in net profit and premium income signals operational effectiveness, even as the diluted EPS reflects the expanded share base post-merger. For investors, these results underscore the importance of evaluating SJLIC not just on immediate profitability metrics but also on its long-term strategic positioning, capital strength, and potential for synergy realization in the dynamic Nepali life insurance market.
Eight Candidates Vie for NEPSE CEO Post, Selection Process Underway
The Nepal Stock Exchange (NEPSE) is poised for a significant leadership transition as eight qualified individuals have submitted their applications for the vacant Chief Executive Officer (CEO) position. The Ministry of Finance confirmed that the application window, which closed on Shrawan 26 (approximately August 11, 2025), saw a total of eight applications registered, signaling robust interest in leading the nation's sole stock exchange. According to Amrit Lamsal, spokesperson for the Ministry of Finance, the selection process is now moving forward. A dedicated recommendation committee has been constituted to meticulously evaluate the professional business plans submitted by each applicant. This initial phase is crucial, as it will assess the strategic vision and operational expertise each candidate brings to the table for the future development of Nepal's capital market. Following the expert evaluation of these business plans, a shortlist of the most promising candidates will be prepared. These shortlisted individuals will then proceed to the next stages, which include a detailed presentation of their proposed strategies and a comprehensive interview. This multi-stage selection process is designed to ensure that the most capable and visionary leader is chosen to steer NEPSE through its next phase of growth and modernization. The search for a new CEO commenced with the opening of applications from Shrawan 12 (approximately July 28, 2025) to Shrawan 26. The eligibility criteria for this pivotal role are stringent, reflecting the immense responsibility associated with it. Applicants must possess a postgraduate degree in fields such as Economics, Commerce, Finance, Management, or Information Technology, or hold a Chartered Accountancy (CA) qualification. Furthermore, candidates are required to have a minimum of 15 years of professional experience within the capital market or financial sector, with at least 7 years of that experience in high-level managerial positions. This rigorous set of qualifications underscores the government's commitment to appointing a leader who not only understands the intricacies of the financial landscape but also possesses the strategic acumen and leadership capabilities to drive innovation and ensure market stability. The new CEO will play a critical role in enhancing market transparency, fostering investor confidence, implementing technological advancements, and expanding the reach of the capital market across Nepal. The Nepali capital market eagerly anticipates the appointment of the new CEO, expected within approximately three weeks. The chosen leader will face the challenge of navigating evolving market dynamics, strengthening regulatory frameworks, and promoting a vibrant and inclusive investment environment. The market expects the new leadership to bring fresh perspectives and robust strategies to further develop NEPSE into a more efficient, transparent, and globally competitive stock exchange, ultimately benefiting investors and the broader Nepali economy.
Nepal's Banking Sector Grapples with Jurisdictional Clarity Amidst NIMB-Smart Telecom Case
The recent arrest and subsequent release of Nepal Investment Mega Bank (NIMB) CEO Jyoti Prakash Pandey, in connection with the Smart Telecom asset auction, has ignited a profound debate within Nepal's financial landscape. This high-profile case has brought into sharp focus the intricate and often overlapping jurisdictions of the Nepal Rastra Bank (NRB), the country's central banking regulator, and the Nepal Police, particularly the Central Investigation Bureau (CIB), in matters concerning the banking sector. At its core, the dispute questions whether a banking transaction, specifically one involving loan recovery and collateral realization, should primarily fall under the purview of the banking regulator or be subject to criminal investigation by law enforcement agencies. Under Nepal’s established legal framework, the Nepal Rastra Bank Act, 2058, unequivocally grants the NRB extensive authority over banks and financial institutions. Section 79 of this Act empowers the central bank to regulate and supervise all functions and activities of commercial banks, issuing directives, rules, and orders to ensure compliance with banking laws, lending standards, risk management protocols, and loan classification. This means that the central bank is the primary body responsible for assessing whether a bank has adhered to regulatory guidelines during loan issuance or recovery. Should a violation of NRB directives occur, the central bank is equipped to examine the transaction and impose appropriate regulatory measures. However, the NRB's regulatory authority does not grant banks immunity from criminal law. Police agencies, including the CIB, are mandated to investigate allegations of fraud, forgery, criminal breach of trust, collusion, or any other criminal offense where there is a reasonable basis to suspect unlawful conduct. The critical distinction, therefore, lies between regulatory non-compliance and criminal wrongdoing. A mere procedural oversight or a violation of banking regulations does not automatically constitute a criminal offense. Conversely, concrete evidence of deliberate fraud, manipulation, or collusion can elevate a matter beyond ordinary banking regulation into the realm of criminal investigation. The NIMB-Smart Telecom case serves as a stark illustration of this crucial differentiation. The genesis of the current controversy traces back to Smart Telecom’s default on loans secured against its telecom towers and equipment. In response, NIMB initiated the lawful process of auctioning the pledged assets, which were subsequently acquired by Ncell for approximately Rs. 4.60 Arba. NIMB has consistently maintained that this transaction was a legitimate part of its loan-recovery process, conducted in strict accordance with the Bank and Financial Institutions Act (BAFIA) and the Secured Transactions Act. The bank reported that approximately Rs. 4.22 Arba from the sale proceeds was utilized to settle consortium loans, with the remainder retained to address other liabilities of Smart Telecom. Despite this, the CIB launched an investigation, scrutinizing various aspects of the transaction, including the legal status of Smart Telecom’s assets following the cancellation of its telecommunications license and the specific circumstances surrounding the auction. The CIB's investigation culminated in the arrest of NIMB CEO Jyoti Prakash Pandey. However, the Supreme Court later ordered his release, citing insufficient grounds for continued custody at that stage, though the underlying investigation was permitted to proceed. This judicial intervention underscored the necessity of robust legal justification for detaining banking executives. The legality of collateral recovery is a central pillar of this dispute. Section 57 of BAFIA explicitly grants banks and financial institutions the authority to recover outstanding principal, interest, and other applicable amounts by selling pledged collateral when a borrower defaults. Consequently, the act of NIMB selling Smart Telecom’s pledged assets, in itself, does not automatically constitute a criminal offense. The pertinent questions revolve around whether the assets were legally pledged, if the security interest was properly established, whether the borrower had indeed defaulted, if the bank adhered to all required recovery and auction procedures, and crucially, if any fraud or collusion transpired. The Secured Transactions Act, 2063, further reinforces the rights of secured creditors over pledged movable assets, providing clear mechanisms for enforcing these rights when borrowers fail to meet their obligations. This legal framework is designed to facilitate efficient loan recovery, which is vital for the health of the banking system. The NIMB case vividly illustrates why banking regulation and criminal investigation must remain institutionally distinct. If the core issue is NIMB’s compliance with NRB’s lending, risk-management, or loan-recovery requirements, then the matter squarely falls within the central bank’s specialized regulatory framework. However, if credible evidence emerges that bank officials manipulated the auction, falsified documents, colluded with a buyer, or personally benefited from the transaction through illicit means, then the matter legitimately transitions into a criminal investigation. For instance, a bank’s decision to auction collateral after a borrower defaults is a recognized and necessary banking activity. But secretly fixing the auction price with a buyer for personal gain would constitute a separate and distinct criminal matter. The same transaction can, therefore, possess both regulatory and criminal dimensions, necessitating different institutional responses. This ongoing debate carries significant implications for the broader banking sector. Banks operate primarily with public deposits and are inherently expected to recover loans when borrowers default to protect depositors' interests and maintain financial stability. Bankers and financial-sector observers have voiced considerable concern that treating legitimate loan-recovery decisions as criminal conduct could create a chilling effect, discouraging bank officials from taking necessary, albeit sometimes difficult, steps to recover bad loans. Such an environment could lead to increased non-performing assets (NPAs) and undermine the stability of the entire credit system. Simultaneously, it is imperative that banks are not shielded from criminal investigation when credible evidence of wrongdoing exists. The appropriate approach is not to prevent police investigations but to ensure that criminal inquiries do not usurp or substitute the statutory regulatory role of the NRB. The Supreme Court’s subsequent intervention, barring the immediate arrest of NIMB Chairman Prithvi Bahadur Pandey and other board members, further highlights the complexities and the need for judicial oversight in such cases. This intervention, following challenges to the arrest warrants, has kept the bank’s leadership out of custody while the investigation continues, intensifying the debate over whether collective board decisions in loan recovery should be treated as criminal conduct without first establishing a clear violation of banking laws or specific criminal intent. For the banking sector, the paramount concern is the potential for uncertainty regarding the legal consequences of loan recovery, which could significantly impact decision-making, especially in cases involving large defaulted loans and complex collateral. The NIMB-Smart Telecom case has thus transcended a mere dispute over asset sales; it has become a critical test of the institutional boundaries between banking regulation and criminal law enforcement in Nepal. Clear coordination and understanding between the NRB, law-enforcement agencies, and the courts are indispensable to ensure that banks remain accountable while simultaneously being empowered to perform their legitimate loan-recovery functions without undue fear of criminalization for standard business practices. Maintaining this delicate balance will be crucial for protecting depositors, strengthening financial-sector confidence, and ensuring that Nepal’s banking system operates within a predictable and robust rule of law. Should legitimate banking decisions be routinely treated as criminal offenses, banks may become increasingly reluctant to accept fixed assets as collateral or pursue necessary recovery actions against defaulting borrowers, potentially weakening the overall credit system and hindering economic growth.
India Provides Rs 803 Million Support for Education, Health, and Agriculture Projects in Nepal
The Indian government is providing grant assistance of Rs 803 million to Nepal to support eight different development projects across the country. Representatives from the relevant Nepal’s government bodies and the Indian Embassy in Kathmandu signed agreement papers on Tuesday to officially start the work. These community projects focus on improving healthcare, boosting agriculture, and expanding educational access, and they will be carried out directly through local municipal governments and public institutions in Nepal. Under this financial grant, major health and education facilities will see significant upgrades. The BP Koirala Institute of Health Sciences in Dharan will transition to digital systems, while a new 15 bed hospital will be built in the Barju region of Sunsari district. A 10 bed hospital is also set to be constructed in the Dungeshwar area of Dailekh district. On the education side, the Belbari Multiple Campus in Morang district will receive a new campus building to better serve local students. The aid also places a heavy emphasis on strengthening regional farming communities. Plans include building a crop collection and sales center in Bhojpur, a cash crop and livestock facility in Dhading, and an agriculture support center in Humla. To help farmers store their produce and reduce waste, a cold storage unit will also be constructed in the Kaligandaki area of Syangja district.
IPO Shares of Sarvottam Paints Industries Limited Listed on NEPSE
34,00,000 units of IPO shares of Sarvottam Paints Industries Limited (SAPIL) have been listed in NEPSE. This includes the shares held by promoters and the quantity issued to the general public. The opening range for the first transaction is Rs. 100 to Rs.300. If the company signs an agreement with NEPSE, the IPO shares will be traded in the secondary market from Shrawan 28, 2083. Out of a total of 34,00,000 unit shares, 8,50,000 units of IPO shares with a par value of Rs 100 were issued to the general public from 28th Jestha to 2nd Ashadh, 2083. Note that the listed shares will be traded under the symbol 'SAPIL'.
Sanima Bank Signs Deal with Truck Operators for QR-based Toll Payment at Naagdhunga Tunnel
The Federation of Truck Transport Entrepreneurs Nepal and Sanima Bank Limited have signed an agreement enabling cashless payment of entry and usage fees at the Naagdhunga–Sisnekhola tunnel via RFID and QR code systems, eliminating the need for operators to carry cash. The deal was signed by Federation representative Rajendra Bikram Baniya and Sanima Bank's Chief Deposit Officer Hemraj Sanjyal. Under government-fixed rates, cars and other light vehicles will pay Rs. 65 for entry and Rs. 60 exit, minibuses and mini trucks Rs. 115 and Rs. 80 buses and single-axle trucks Rs. 260 and Rs. 200 and multi-axle trucks and heavy vehicles Rs. 600 and Rs. 250. Federation chairperson Baniya said the cashless system will bring added convenience to operators who use the tunnel regularly.
Seven Parliamentary Committees Meet Today to Discuss Bills and Public Issues
Seven parliamentary committees are meeting on Today (Wednesday) to discuss various legislative bills, human rights conditions, and government oversight matters. The Law, Justice and Human Rights Committee and the Industry, Commerce, Labor and Consumer Welfare Committee both begin their sessions at 10:00 AM, with the former set to review a subcommittee report on human rights conditions of inmates in prisons and detention centers. At 11:00 AM, the Finance Committee will evaluate the work, recommendations, and overall role of the National Natural Resources and Fiscal Commission in managing federal finances. Simultaneously, the Women and Social Affairs Committee will assess monitoring findings on child care homes, juvenile reform centers, safe houses for women, and homes for the elderly. Later in the day, the Public Accounts Committee gathers at 1:00 PM to review complaints regarding the Ministry of Home Affairs. In addition, the Education, Health and Information Technology Committee will deliberate on the National Forensic Science Laboratory Bill, 2081, while the Development, Economic Affairs and Good Governance Committee reviews progress from past climate summits and examines Nepal's preparations for the upcoming COP 31 climate conference.
NRB to Collect 30 Billion from BFI's; Interest and Deposits Returns after 1 Month
Nepal Rastra Bank (NRB) has announced that it will collect deposits worth Rs. 30 billion from banks and financial institutions through a bidding process today. According to a notice published today, the central bank will collect the deposits for a period of 35 days. The bidding will take place on Shrawan 27 (August 12) through the Online Bidding System at 3 Pm. The interest rate will be decided through the bidding process. The minimum amount for bidding has been set at Rs. 10 crore, while the maximum limit is (In multiples of) 5 Crore, up to the total issue amount. However, institutions can submit multiple bids within the total announced amount. Only licensed ‘A’, ‘B’, and ‘C’ class banks and financial institutions approved by NRB are allowed to take part in the bidding. The deposits collected will be returned along with interest on Bhadra 31, 2083 (September 16, 2026).
Kumari Bank’s Net Profit Surges 305.96% to Rs. 7.38 Arba in Q4 FY 2082/83; EPS at Rs. 28.17
Kumari Bank Limited (KBL) has released its unaudited fourth-quarter financial results for FY 2082/83, reporting a 305.96% surge in net profit. The bank earned Rs. 7.38 Arba during the quarter, compared to Rs. 1.81 Arba in the corresponding quarter of the previous fiscal year. The bank’s paid-up capital remained unchanged at Rs. 26.22 Arba. Meanwhile, retained earnings improved considerably, with accumulated losses narrowing from Rs. 3.84 Arba in Q4 FY 2081/82 to Rs. 79.16 Crores in Q4 FY 2082/83. Reserves increased by 20.60% to Rs. 17.77 Arba. Customer deposits grew 10.45% to Rs. 4.02 Kharba, while loans and advances increased 4.07% to Rs. 2.70 Kharba from Rs. 2.60 Kharba a year earlier. Net interest income rose 3.37% to Rs. 12.01 Arba. Meanwhile, impairment charges shifted from a positive Rs. 3.45 Arba to a negative Rs. 1.43 Arba, representing a decline of 141.72%. Operating profit surged 101.09% to Rs. 11.23 Arba, compared to Rs. 5.58 Arba in the previous fiscal year. Kumari Bank’s capital adequacy ratio improved to 9.92% from 8.51%, indicating an improvement in its capital position. However, the bank’s NPL ratio increased slightly to 7.46% from 6.95%, pointing to higher non-performing assets. The cost of funds declined significantly by 22.57% to 3.67%, compared to 4.74% in the previous year. The bank’s EPS jumped to Rs. 28.17 from Rs. 6.94, while net worth per share increased 20.68% to Rs. 170.80. At the end of the quarter, the bank’s P/E ratio stood at 7.46 times, with its market price recorded at Rs. 210 per share. Report: Major Financial Highlights: Particulars (In Rs '000) Kumari Bank Limited Q4 2082/83 Q4 2081/82 Difference Paid Up Capital 26,225,861.34 26,225,861.34 0.00% Share Premium 0.00 0.00 Retained Earnings 791,661.68 -3,849,526.72 -120.57% Reserves 17,776,548.14 14,740,492.12 20.60% Deposit 402,736,207.79 364,639,161.51 10.45% Loans & Advances 270,922,251.96 260,322,398.32 4.07% Net Interest Income 12,013,083.60 11,621,545.97 3.37% Personnel Expenses 4,892,098.68 4,311,039.37 13.48% Impairment Charges -1,439,965.06 3,451,421.34 -141.72% Operating Profit 11,235,525.92 5,587,195.54 101.09% Net Profit 7,387,197.91 1,819,698.65 305.96% Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments 791,661.68 -3,849,526.72 - Capital Adequacy (%) 9.92 8.51 16.57% NPL (%) 7.46 6.95 Cost of Fund (%) 3.67 4.74 -22.57% EPS (In Rs.) 28.17 6.94 305.96% Net Worth per Share (In Rs.) 170.80 141.53 20.68% Qtr end PE Ratio (times) 7.46 - - Qtr End Market Price 210 - -
Gold Price Falls by Rs. 1200 Per Tola; Check Today's Trading Rate
Gold prices have witnessed a moderate falls in the domestic market today, falling by Rs. 1,200 per tola to settle at Rs. 306,700 per tola, down from the previous rate of Rs. 307,900 per tola. The Federation of Nepal Gold and Silver Dealers' Association (FENEGOSIDA) reported that Tejabi gold price also falls by Rs. 1,200 per tola to reach Rs. 306,000 per tola, compared to Rs. 307,200 per tola on the previous day. Similarly, silver prices moved in the same direction, falls by Rs. 35 per tola to Rs. 4,745 per tola from Rs. 4,780 per tola on the previous day.
Citizen Life Insurance Company Limited Announces Conclusion of Lock-in Period for Promoters and Employee Shares on Bhadra 27
Citizen Life Insurance Company Limited (CLI) published a notice regarding the expiration of the lock-in period for its promoters' and employees' shares, which will expire on 27th Bhadra, 2083. According to the recent guidelines issued by the Securities Board of Nepal (SEBON), Citizen Life Insurance Company Limited (CLI) has officially notified its investors and stakeholders that the lock-in period for the shares held by its promoters and employees has concluded. On Bhadra 27th, 2083, the lock-in period will end. CLI now has 50,000,000 units of shares listed on the Nepal Stock Exchange (NEPSE). Of these, the promoters held 35,000,001 units, and the company's employees held 7,50,000 units. These shares have been subject to a lock-in period since the IPO allotment three years ago. As outlined in the official notice, the shares held by the Board of Directors and employees at higher management will not be tradable after the lock-in period. CLI closed at Rs. 437.20.
Garima Mutual Fund Launches Online Sale, Redemption System for Garima Subarna Yojana
Garima Capital Limited, fund manager of Garima Mutual Fund, has launched an online sale, repurchase, and registration system for units of Garima Subarna Yojana, its first open-ended scheme, effective from Shrawan 26, 2083 BS. The platform allows investors to purchase units, register and pay SIP installments, enroll in the Dividend Reinvestment Plan, manage profiles, and redeem or amend units online. More features will be added in phases. Services also remain available in person at Garima Capital's Kamalpokhari office and Garima Bikas Bank branches nationwide. Unit transactions will be based on NAV as per cut-off timing. The company has urged investors to review the scheme's prospectus before investing, noting that mutual fund investments are subject to market risk.
Government Approves IPO of NRN Nepal Development Fund; Rs. 10 Arba Investment Projects to Move Ahead
The NRN Nepal Development Fund has received approval to issue its Initial Public Offering (IPO), with the move clearing the way for the fund to proceed with its proposed Rs. 10 Arba investment plan. The fund’s Chief Executive Officer (CEO), Anal Raj Bhattarai, said the Securities Board of Nepal (SEBON) completed the required legal and procedural approvals on Tuesday, allowing the fund to move ahead with the public offering. According to Bhattarai, the fund had already completed the necessary legal and procedural preparations for the IPO. Under the proposed structure, 85% of the shares will be offered through the IPO to Nepalis living abroad. The fund had earlier received approval to allocate up to 51% of its shares through the IPO. The latest approval has increased the permitted allocation to 85%, enabling the fund to proceed with its revised share distribution plan. Following the approval, the fund can now advance both its IPO process and the proposed Rs. 10 Arba investment projects. The initiative has been developed as a dedicated platform to channel capital from the Nepali diaspora into investment opportunities in Nepal. The fund aims to mobilize overseas Nepali capital, knowledge, and expertise toward the country's economic development, infrastructure, productive sectors, and capital market. Former NRNA President Kumar Pant described the approval as the result of seven years of continuous efforts. He said the approval of the legal amendments related to the fund marks a historic milestone in bringing diaspora investment into Nepal. Meanwhile, NRNA President Dr. Hem Raj Sharma had recently expressed his commitment to accelerating the fund's activities during the NRNA Europe Regional Conference. The NRN Nepal Development Fund is envisioned as a national initiative connecting Nepalis living around the world with investment opportunities in Nepal. The fund is expected to provide a structured mechanism for mobilizing diaspora investment while contributing to sustainable economic development and expanding investment in infrastructure, productive industries, and the capital market. The IPO approval is therefore expected to strengthen efforts to bring overseas Nepali capital into the domestic economy and increase diaspora participation in Nepal's investment landscape.
Nepal SBI Bank Posts Rs. 2.04 Arba Net Profit in Q4 End, FY 2082/83; EPS at Rs. 18.04 and PE Ratio at 21.78 Times
Nepal SBI Bank Limited (SBI) posted a net profit of Rs. 2.04 Arba in the fourth quarter of FY 2082/83, marking a 12.89% increase from Rs. 1.81 Arba reported in the same quarter of the previous fiscal year. A reduction in impairment charges mainly supported the growth in profitability. The bank’s earnings per share (EPS) rose to Rs. 18.04 from Rs. 16.62 a year earlier. Based on the quarter-end market price of Rs. 392.9 per share, the bank’s price-to-earnings (P/E) ratio stood at 21.78 times. The bank’s paid-up capital increased to Rs. 11.33 Arba during the fiscal year, compared to Rs. 10.89 Arba in the previous fiscal year. Retained earnings grew 4.55% year-on-year to Rs. 1.25 Arba, indicating an increase in accumulated distributable earnings. Similarly, the bank’s reserves rose 12.03% to Rs. 9.48 Arba. On the business front, customer deposits increased 6.62% to Rs. 2.12 Kharba, while loans and advances grew 8.23% to Rs. 1.46 Kharba. The bank also recorded an improvement in its funding efficiency, with the cost of funds declining to 4.06% from 5.18% in the corresponding period last year. The bank’s net interest income increased marginally by 1.30% to Rs. 5.33 Arba. However, personnel expenses climbed 10.16% to Rs. 2.18 Arba. Meanwhile, impairment charges declined 8.77% to Rs. 94.01 Crores. Despite the lower impairment charges, the bank’s operating profit decreased 30.20% year-on-year to Rs. 1.91 Arba. In terms of asset quality, the bank’s non-performing loan (NPL) ratio stood at 2.92%, compared to 3.35% in the previous year. The capital adequacy ratio stood at 13.74%, compared to 12.75% a year earlier. Meanwhile, net worth per share increased to Rs. 194.73 from Rs. 188.67 in the previous year. Report: Major Financial Highlights: Particulars (In Rs '000) Nepal SBI Bank Limited Q4 2082/83 Q4 2081/82 Difference Paid Up Capital 11,335,124.39 10,899,158.07 4.00% Share Premium 0.00 0.00 Retained Earnings 1,251,639.29 1,197,117.47 4.55% Reserves 9,486,124.77 8,467,281.30 12.03% Deposit 212,826,428.57 199,603,443.88 6.62% Loans & Advances 146,077,737.62 134,963,770.66 8.23% Net Interest Income 5,334,310.56 5,266,044.29 1.30% Personnel Expenses 2,184,810.39 1,983,262.24 10.16% Impairment Charges 940,100.96 1,030,515.16 -8.77% Operating Profit 1,916,141.44 2,745,249.48 -30.20% Net Profit 2,044,330.74 1,810,960.18 12.89% Distributable Profit/ (Loss) after P/L Appropriation and Regulatory Adjustments 1,251,639.30 1,197,117.47 - Capital Adequacy (%) 13.74 12.75 7.76% NPL (%) 2.92 3.35 Cost of Fund (%) 4.06 5.18 -21.62% EPS (In Rs.) 18.04 16.62 8.54% Net Worth per Share (In Rs.) 194.73 188.67 3.21% Qtr end PE Ratio (times) 21.78 - - Qtr End Market Price 392.9 - -
NIC Asia Capital Declares 50% Cash Dividend for Financial Year 2082/83; Calls AGM On Bhadra 26
NIC Asia Capital Limited has declared the dividend for the fiscal year 2082/83. The 174th Board of Directors (BOD) meeting held on Shrawan 26 proposed distributing a cash dividend of 50 percent (including tax) of the current paid-up capital. The meeting of the Board of Directors has also called the eighth Annual General Meeting (AGM) on Bhadra 26 to pass the resolution for the dividend distribution. The AGM of NIC Asia Capital will be convened at the registered office located in Thapathali at 9 am. During the meeting, the annual report of the Board of Directors for the financial year 2082/83 and the auditor's report, along with the balance sheet up to Ashad 2083, will be presented.