Kathmandu. Investors had been expecting a recovery in the share market with the formation of a single government of the Rastriya Swatantra Party (RSP). However, it did not live up to the expectations of investors. However, if we look at the 7-point suggestion sent by the Central Currency and Capital Markets Department of the RSP for the annual monetary policy and program for the coming fiscal year, it seems that the party has given priority to the stock market.
The Rashtriya Swatantra Party (RSP) has sent its recommendations to the Nepal Rastra Bank (NRB) for the monetary policy for the coming fiscal year. The stock market seems to be correct. The RSP believes that if these suggestions are implemented through the monetary policy, the confidence of the investors will increase along with the improvement in the stock market.
Here are the suggestions
Share Mortgage Credit Reform and Liquidity Enhancement
- Different LTV ratios will be determined according to the financial strength of the company.
- Share mortgage loan limit will be determined on the basis of total loan flow.
- Relaxation of investment restrictions imposed in the capital market of banks and financial institutions.
Active mobilization of institutional funds
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To increase the market participation of Employees Provident Fund, Social Security Fund, Mutual Fund, Citizen Investment Trust and other institutions to expand institutional investors in the capital market.TAG_OPEN_li_55
{{TAG_OPEN_span_42}Central KYC & Digital Integration
- Simplify and simplify the investment process by implementing a central KY platform.
- Integration between the bank, my shares and the broker.
Predictable and investment-friendly interest rates
- Interest Rate Corridor Effective.
- to reduce the volatility of the interest rate and make it predictable by scientific method.
Broker Margin Trading & New Financial Instruments
- Allowing competent brokers to issue short-term bonds.
- Brokers and margin receivables as collateral to provide short-term loans.
Dividend Limit Correction for Microfinance
- Limit on dividend distribution of Microfinance Financial Institutions (MFIs) will be abolished.
to improve the CAR of banks and financial institutions and increase the flow of credit
- To allow companies that are in policy difficulty to issue right shares on the basis of necessary and justification for smooth business expansion in order to expand more business under CAR pressure.
