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Question raised in parliament on stock market: Market capitalization decreased by about Rs 5.5 trillion after formation of government

. KATHMANDU: Drawing the attention of the government towards the recent situation of Nepal’s share market, lawmaker Kshitij Thebe demanded the government to bring a clear policy. He accused the government of remaining silent even when the capital market with investment of hundreds of thousands of Nepalis has been falling continuously.

According to MP Thebe, there are about 76 lakh demat accounts across the country.TAG_OPEN_div_38 He said that the NEPSE index fell by 329 points to 2,621 points from 2,950 points on March 26, 2002.

According to him, the market capitalization decreased from Rs 509.38 billion to Rs 4.504 billion in the same period.TAG_OPEN_div_36 According to him, the investors have lost assets worth Rs 5.5 trillion.

Lawmaker Thebe said that the daily turnover in the market was around Rs 29 billion on March 26 and now the daily transaction has come down to around Rs 4 billion.TAG_OPEN_div_34 According to him, the decline in transaction has also had a negative impact on the government’s revenue collection.

Stating that the stock market is expecting a clear policy and investment-friendly environment from the government, he said the investors’ morale was weakening due to lack of policy.TAG_OPEN_div_32 “Should the government encourage investors or keep them confused? How long will the government stay with oil in its ears?” he asks.

Lawmaker Thebe said that the incumbent government was responsible for the problems seen now and it could not be imposed on the previous government.TAG_OPEN_div_30

He also drew the attention of other issues that are in the government’s priority and said that the problem of landless squatters should be addressed in the first priority.TAG_OPEN_div_28

Similarly, the government should control the rising inflation. He said that inflation has increased by about 4.5 percent in the last six months. He accused the government of imposing tax on the people instead of managing the price hike.

He also said that farmers are facing problems due to shortage of fertilizer.TAG_OPEN_div_24 “Nepal needs around 800,000 tonnes of chemical fertiliser annually, but the government has limited the import from India to 80,000 tonnes citing budget constraints,” he said. He said, “The government’s assurance alone will not solve the problem when farmers do not get fertilizer during paddy plantation.” ’

Lawmaker Thebe said that there has been a loss of around TAG_OPEN_div_22 Rs 700 million due to bird flu but only Rs 50 million in the compensation fund. He demanded that the government immediately provide compensation to the chickens that died due to the disease.

He also questioned the preparations to increase the proposed traffic fine to one lakh rupees.TAG_OPEN_div_20 Stating 28 persons out of every 100,000 population lost their lives in road accidents in the country, he demanded information from the government about the plans of the government for improving road safety.

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