Government Unveils Bold Reforms to Strengthen Share Capital Market in Budget 2082/83

Kathmandu – Finance Minister Bishnu Prasad Paudel has announced a comprehensive package of reforms aimed at revitalising Nepal’s Share capital market, while presenting the national budget for the fiscal year 2082/83 today.

Key among the reforms is the planned restructuring of the Nepal Stock Exchange (NEPSE) and the enhancement of its institutional capacity to ensure a more robust and transparent trading environment.

In a bid to bolster investor confidence and protect citizen investors, the government also plans to strengthen the Securities Board of Nepal (SEBON). These institutional upgrades are expected to foster greater participation in the capital market and support long-term growth.

To boost investments in priority sectors, the government will facilitate easier access for stock-listed companies and institutional investors to invest in capital bonds and securities issued in nationally prioritised industries.

In a significant shift, the budget also proposes legal provisions to allow major public funds—including the Employees Provident Fund, Citizens Investment Trust, and the Social Security Fund—to invest in private equity and venture capital.

Additionally, arrangements will be made to enable the trading of government bonds on the secondary market, expanding investment options for the public. Another notable inclusion is the decision to allow non-resident Nepalis (NRNs) to participate in secondary market trading—an effort to attract foreign investment and deepen market liquidity.