Care Ratings Nepal Limited recently held an interactive session with experts on the development of Nepal’s capital market. 

The company organized a discussion and interaction program on Sunday, November 24, in Kathmandu, focusing on the current state of Nepal’s capital market, the country’s credit rating score, and various related aspects.

The program featured contributions from several prominent figures, including former Governor of Nepal Rastra Bank and former Chairman of the Securities Board of Nepal (SEBON) Chiranjivi Nepal, CEO of Nabil Bank Gyanendra Prasad Dhungana, CEO of NIC Asia Capital Limited Ramendra Rayamajhi, Managing Director of Dolma Advisors Vidyabaridhi Sigdel, and Executive Director of Care Ratings India Revati Kasture.

During the event, former Governor Nepal said that the leadership vacuum at SEBON for ten months has revealed the challenges facing Nepal’s capital market. The absence of leadership in a regulatory body like SEBON has tarnished the reputation of an institution with investments worth Rs 5 trillion, Nepal said.

“Such a situation indicates negligence towards investors’ capital. If there are no qualified individuals to take leadership in Nepal, we should bring in experts from outside, but keeping the institution leaderless puts the public’s investments at risk,” Nepal added.

Similarly, Nabil Bank’s CEO Dhungana, too, expressed concern, noting that the lack of leadership at the regulatory body could lead to the capital market facing serious issues. Dhungana emphasized that the concerned authorities need to address this matter with urgency.

CEO Rayamajhi of NIC Asia Capital Limited and Managing Director Sigdel of Dolma Advisors discussed Nepal’s BB- credit rating, which they stated enhances the country’s ability to meet its financial obligations. Addressing SEBON's leadership vacuum, Rayamajhi pointed out that the lack of regulation in the capital market could negatively affect the entire sector.

Care Ratings India’s Executive Director Kasture mentioned that Nepal’s sovereign credit rating was relatively strong in comparison to South Asian countries. She emphasized that this rating should help attract foreign  investments.

The programme was moderated by Anal Raj Bhattarai, CEO of N.R.N. Nepal Development Fund Limited.