Kathmandu. The stock market witnessed a double-digit fall on Monday, the first trading day of the budget announcement for the upcoming fiscal year 2083-84. On Monday, the NEPSE index decreased by 26.72 points to close at 2,755.37 points. Today, the stock market is down about 1 percent.

The government has increased the capital gains tax through the budget for the coming fiscal year. The short-term and long-term profit tax has increased in the stock market. Earlier, the profit tax on long-term transactions has been increased to 7.5 percent.

Similarly, the profit tax on short-term transactions has been increased from 7.5 percent to 10 percent. Finance Minister Dr. Swarnim Wagle has said that this tax will be considered as the final tax for trading only shares. Finance Minister Dr. Wagle has indicated that this tax is not the final tax for the investors who also invest in other businesses and shares. As a result, the stock market does not like the budget, according to experts in the concerned sector.

Along with NEPSE, the transaction amount has also decreased. Shares worth Rs 6.03 billion were traded in the market on Wednesday, while shares worth Rs 5.61 billion were traded today. Shares of two companies were traded at a positive circuit level today.

Out of 13 sub-groups, the indices of 11 sub-groups have fallen. The index of two sub-groups has decreased. Today, the index of other sub-groups increased the most by 3.36 percent. Likewise, the index of the non-life insurance sub-group increased by 1.5 percent today. Shares of Kalinchowk Hydropower and Nepal Reinsurance Company Ltd were traded at positive circuit level today. Bungal Hydro’s share price fell the most by 13.20 percent today.

Ankhu Khola Hydropower Company Ltd Ltd was in the top position on the basis of transaction amount. Shares worth Rs 43.04 crore were traded today. Similarly, shares of Nepal Reinsurance Company Ltd (NIB) stood at Rs 370 million while Himalayan Reinsurance Company Ltd (HLIC) traded Rs 25.5 crore.