Banking News – Senior Vice President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Surakrishna Vaidya, has stated that the capital market must be developed as a means of mobilizing long-term investment by connecting it with the real economy. Addressing the Nepal Capital Market Discourse 2026, organized by Banking Samachar with NASA Securities as the main sponsor, Vaidya expressed his views. Noting that Nepal’s capital market is not limited to a few institutions, he mentioned that millions of citizens hold Demat accounts. He also stated that the capital market’s contribution to job creation and the economy must be evaluated.

Vaidya stated that economic goals cannot be achieved through government resources and the banking system alone, and the capital market needs to be further mobilized. He emphasized the need to expand financial instruments such as institutional debentures and mutual funds.

Vaidya stated that the capital market should be predictable and stable for investors. He said that once policies are formulated, sufficient discussion should be held so that there is no backtracking. He stated that the Securities Board should be operated as an autonomous body like Nepal Rastra Bank. He expressed the view that individuals should be appointed to the Board’s Board of Directors based on expertise and competence, and an environment should be created for employees to work autonomously.

Vaidya stated that while international practices should be taken as a basis, Nepal’s own conditions and investor behavior must also be considered. Since most investors do not trade based on full information, he said policies should be formulated keeping practical aspects at the center. Questioning the policy of distributing 10 shares, he stated that investors who invest small amounts cannot effectively question company management and the work of directors. He noted that the limits imposed by treating the stock market and real estate as unproductive sectors have been affecting the market, and said that policies and regulations should not be formulated by considering the stock market as an unproductive sector. “Until the capital market leaps forward, the economy cannot advance,” he said.