. Investors have given 23-point suggestions to the task force formed to study the anomalies and problems of the capital market. Various organizations of investors submitted their suggestions to the task force formed by the Ministry of Finance on Sunday.
The Ministry of
Finance had formed a task force to identify the anomalies and problems seen in the capital market. Last Friday, the Ministry had formed a 4-member task force to submit suggestions within five days along with a concrete plan for systemic and procedural reforms to boost the morale of the general investors.
Similarly, they have demanded the abolition of the limit on personal share mortgage loans. Banks and financial institutions need to completely abolish the limit of Rs 25 crore for individual single-family loans. This will not only ease investors’ access but also contribute to building a trustworthy and investor-friendly environment.
Similarly, the current provision barring microfinance institutions from distributing more than 25 percent dividend is against the principle of open economy adopted by Nepal.TAG_OPEN_div_28 They have demanded that this rule be amended to provide for the distribution of dividends on the basis of the actual profit and financial capacity of the institutions.
According to the current provision, the banks and financial institutions (BFIs) need to revise the limit on the investment in the capital market of their primary capital fund and maintain the ceiling as per the provisions of the Bank and Financial Institution Act, 2073.TAG_OPEN_div_26
Similarly, investors say that the limit of share loans issued by banks and financial institutions is very old when compared to the current economic situation and the expansion of the capital market. It needs to be increased in a timely manner, which will ease liquidity in the market, increase investor access and help keep the overall economy moving. ।
प्रतिक्रिया दिनुहोस्