Kathmandu. The Securities Board of Nepal (SEBON) has failed in the capital market reform action plan after repeated instructions and reminders from Finance Minister Rameshwor Khanal.
The meeting of the Board of Directors of the Securities Board of Nepal (SEBON) on October 10 had failed as the initial program of the nine-point capital market action plan was not implemented on time. Point No. 1 of the action plan stated that margin trading system would be implemented through securities entrepreneurs. It was expected that the investors would have received margin trading facility through brokers by mid-November after the completion of this work. The Securities Board of Nepal, NEPSE, CDSC and share brokers were held responsible for this.
Anybody can conclude that the board’s action plan has failed because there is no indication that the margin trading system has started even after November 1. Although margin trading was implemented in 2075 BS, investors have not been able to do margin trading through share brokers so far.
The second point of the action plan was to maintain uniformity on the International Securities Identification Number (IJIN) to be provided to companies through CDSC. During this period, the expected results were estimated that the Securities Board and CDSC would have maintained uniformity in the IGN of the companies. The Securities Board has failed to do this either.
After the failure of the initial program, the directive of the Finance Minister has failed and the Securities Board has been seen to be delaying the work of capital market reform. This has raised questions about the efficiency of Securities Board of Nepal (SEBON) Chairman Santosh Narayan Shrestha and also flouted the commitment made by the Securities Board of Nepal (SEBON) in its public notice on October 11 that the action plan would be implemented on time.
The Securities Board of Nepal (SEBON) has failed to implement the initial important programs of the action plan issued after intense pressure from investors. At the same time, the frustration in the capital market seems to be increasing.
Spokesperson of the Securities Board of Nepal Niranjaya Ghimire said that the process of implementation of the action plans for capital market reform will now move forward. “The Securities Board of Nepal (SEBON) has already expressed its commitment to implement the action plans. ’
