NEPSE CEO Meets NRB Governor: Capital Market Reforms & Development
26th May 2025, Kathmandu
The Chief Executive Officer (CEO) of Nepal Stock Exchange (NEPSE), Mr. Chudamani Chapagai, led a delegation to meet the newly appointed Governor of Nepal Rastra Bank, Dr. Biswo Nath Paudel. The visit aimed to congratulate Dr. Paudel and discuss future collaboration between the central bank and NEPSE.
NEPSE CEO Meets NRB Governor
The meeting took place at the Nepal Rastra Bank headquarters. Along with CEO Chapagai, the team included NEPSE managers Niranjan Phuyal and Liladhar Subedi, as well as spokesperson Murahari Parajuli.
Focus on NEPSE’s Restructuring and Development
Governor Paudel expressed keen interest in NEPSE’s ongoing restructuring efforts. He stressed the importance of renewing NEPSE’s organizational framework to make it more efficient and forward-looking. The governor believes that restructuring will strengthen NEPSE’s role in Nepal’s capital market.
Furthermore, he emphasized that the integrity of the capital market must be preserved at all costs. This, he stated, is crucial to build trust among investors and promote sustainable growth.
Governor Paudel also mentioned the need for continuous dialogue between Nepal Rastra Bank and NEPSE to explore ways to develop and expand the capital market.
Collaboration for a Dynamic Financial System
Both parties agreed that close coordination between regulatory institutions is essential. They believe such cooperation will help create a more dynamic and disciplined financial system in Nepal.
Mr. Chapagai and Governor Paudel discussed how collaboration between the central bank and the stock exchange can contribute significantly to the country’s overall economic development.
Positive Signals for the Capital Market
Currently, Nepal Rastra Bank holds a 9.5 percent stake in NEPSE. This ownership gives the bank a direct interest in the stock exchange’s performance.
In a recent monetary policy update, Governor Paudel announced a significant change. The risk weight on loans backed by shares will decrease from 125 percent to 100 percent. This policy adjustment is expected to encourage safer borrowing and lending practices related to the stock market.
Governor Paudel clarified that this step reflects his positive outlook on the capital market’s future. He indicated that Nepal Rastra Bank intends to support the growth of the stock exchange through prudent policy measures.
Addressing Investors’ Concerns
During the meeting, NEPSE officials shared concerns and feedback from investors. Both sides recognized that investor confidence is key to a vibrant capital market.
Governor Paudel and the NEPSE team agreed to continue discussing ways to address investor demands and challenges. They highlighted that responding effectively to investors’ needs will help attract more participation in the market.
Future Discussions and Cooperation
The meeting ended with a commitment to ongoing dialogue. Both Nepal Rastra Bank and NEPSE pledged to work together on reforms that promote transparency, efficiency, and market expansion.
Mr. Chapagai expressed optimism about this new phase of cooperation. He said that the visit laid a strong foundation for a better partnership between the stock exchange and the central bank.
Conclusion: A Step Toward Stronger Capital Markets
This first interaction between NEPSE’s leadership and Governor Paudel signals a positive start. It highlights the shared vision of strengthening Nepal’s financial markets through coordinated efforts.
With the central bank’s support, NEPSE aims to improve its structure, enhance investor protection, and expand its reach. Both institutions hope to foster a trustworthy and growing capital market that supports Nepal’s broader economic progress.
For more: NEPSE CEO Meets NRB Governor
