Kathmandu. The Securities Board of Nepal (SEBON), the stock market regulator, has itself slowed down. When the new chairmen arrive in Sebon, they commit to many agendas of stock market expansion and development. However, Sebon itself has been slow in internal management and has become lax in implementing regulatory provisions.
There have been many developments in the stock market since last July, but no action has been taken against the listed companies, securities traders (brokers), CDSC and market operator Nepal Stock Exchange (NEPSE). It is not possible to believe that the stock market is running transparently or in its own rhythm because no action has been taken against anyone from Sebon. In the second week of July, 84 companies had taken action for not submitting their financial statements in time.
There have still been many cases of regulatory violations in the market, but Sebon officials seem to be “putting oil in their ears”.
On the other hand, investors or stakeholders do not get the information they need from SEBON in time. Not only this, they have also been reluctant to call the information officer of Sebon themselves and ask for necessary information.
When Ramesh Hamal came to Sebon as the chairman, he was very strict in the office. Not only this, he also threatened to track the phones of the employees. Although he has left Sebon, the staff is still not able to talk openly. “Whoeverse government comes, his people come as presidents,” said an employee of Sebon. On the contrary, there is a fear of action. ’
It has been a long time since a study committee was formed under the coordination of Executive Director Muktinath Shrestha to improve the regulatory provisions related to the stock market. However, the committee is yet to prepare its report. Sebon officials do not want to speak openly about the reasons why the committee has not been able to prepare its report even after so many months.
Stock market regulator Sebon’s own website also appears to have been updated for years. Apart from the issuance permission of the same ordinary shares, other information seems to be old.
Some time ago, the High-Level Commission in its report submitted to the Ministry of Finance had also pointed out the need to restructure Sebon. According to the report, more skilled manpower is needed with the restructuring of Sebon’s infrastructure and technology. “It is true that the infrastructure and technology of Sebon is very weak, there is still no building of its own, the land purchased is also in dispute,” said a SEBON official. ’
Sebon’s spokesperson Niranjay Ghimire said that the work to be done from Sebon is going on. “Necessary studies are underway to amend the policies and regulations to make the market more systematic,” he said.
Ghimire said that work is also underway to improve the technical aspects. “Necessary work is being done for the improvement,” he said.
