Banking News – Nepal’s capital market has witnessed significant growth in investor participation, with 3.466 million investors actively trading shares through the Trading Management System (TMS), according to the Nepal Capital Market Development Roadmap 2083 recently published by the Securities Board of Nepal (SEBON).

The report states that the number of Demat (beneficiary) accounts in Nepal has reached 7,766,565. In comparison, only around 1.7 million Demat accounts had been opened by the end of the 2020/21 fiscal year. More than 26 percent of Nepal’s population now holds a Demat account.

Bagmati Province accounts for the largest share of Demat account holders at 34.13 percent, while Karnali Province has the lowest share at 2.98 percent. The remaining distribution includes Koshi (18.93 percent), Madhesh (12.68 percent), Gandaki (12.46 percent), Lumbini (12.14 percent), and Sudurpashchim (6.67 percent).

The roadmap also highlights rapid growth in Mero Share registrations. The number of Mero Share users has increased from around 700,000 in FY 2020/21 to 6,737,254 by the end of Jestha in the current fiscal year, representing approximately 23 percent of Nepal’s population.

Similarly, the number of TMS accounts, which are required for trading securities in the secondary market, has expanded dramatically over the past five years. The number of TMS users has grown from just 35,000 in FY 2020/21 to 3,466,499 by the end of Jestha FY 2082/83.

The report further notes that the government has seen substantial revenue from capital gains tax generated through the stock market. In FY 2020/21, capital gains tax collections stood at Rs 15.54 billion, while the government collected Rs 10.70 billion by the end of Jestha in the current fiscal year.

According to SEBON, the decline in the stock market during the current fiscal year contributed to lower-than-expected capital gains tax collections.

The roadmap states that Nepal’s capital market has expanded considerably over the past three decades. As of 2026, a total of 297 companies are listed on the Nepal Stock Exchange (NEPSE), with the country’s market capitalization reaching approximately Rs 4.656 trillion, equivalent to 70.52 percent of Nepal’s Gross Domestic Product (GDP).