Online system comes into operation for stock market
Kathmandu, Nov 6: The domestic stock market has formally switched into an online system with Minister for Finance Dr Yuba Raj Khatiwada initiating the online system here today.
Nepal Stock Exchange (NEPSE) started the online trading based on a fully automated system on the direction of the Securities Board of Nepal (SEBON), the regulator of securities market.
The new technology, which was on a trial since the very first day of the current fiscal year, aims to make domestic stock activities of an international standard.
Minister Khatiwada said that the government was effortful to make the institutional investors enter into the stock market. Government was also effortful to expand the mutual fund and commodity market for the diversification of the market.
Stating that there has been 6 per cent of economic growth for the past three years, he expressed his confidence that the government would achieve the 8 per cent of economic growth towards the end of the current fiscal year.
All share brokers have been associated with the new fully automated online system and they have developed all physical infrastructures required for the same.
Prior to this, the investor had to compulsorily visit the office of share broker to buy and sell shares.
Individual's email ID and mobile phone number are compulsory for personal details. The system is expected to be a milestone in the domestic capital market increasing people's access to the share market.
Investors first should visit share brokers to open a personal account and then they can make share trading through an online system by sitting at home, or from office or from anywhere where internet facility is available.
SEBON President Dr Rewat Bahadur Karki was of the confidence that the new online system would be more effective for share trading for the Nepalis home and abroad. Karki argued that the online system would also aid in expanding financial access and awareness among the people.
Present at the programme were NEPSE President Laxman Neupane, National Insurance Committee President Chiranjivi Chapagain, Stock Brokers Association President Bharat Ranabhat among others who univocally spoke of the need to increase confidence of the investors by eradicating the weakness on the online system.