CNI President Pandey Urges Developing Capital Market as an Engine for Economic Growth

Kathmandu — Confederation of Nepalese Industries (CNI) President Birendra Raj Pandey has emphasized the need to elevate the country's capital market from a limited share-trading platform to a primary 'financial engine' for economic development. Speaking at the 'Nepal Capital Market Discourse-2026' organized by Banking Samachar and Nasa Securities in Kathmandu, he stressed the importance of mobilizing scattered public savings into productive sectors such as industry, agriculture, energy, and infrastructure as long-term capital.

Pointing out that Nepal's economy has long been heavily dependent on remittances and imports, Pandey highlighted the urgent need to shift towards an economy driven by investment, production, and innovation. Since bank loans alone cannot fulfill the massive financial requirements for establishing large-scale industries and infrastructure, he argued that the capital market must be established as a robust alternative. He further clarified that a diversified and reliable capital market is crucial to achieving CNI's vision of a $100 billion economy and double-digit economic growth.

Acknowledging the significant strides the capital market has made over the past decade, Pandey noted that the opening of over 7.5 million Demat accounts and the market capitalization reaching 66 percent of the Gross Domestic Product (GDP) are highly positive indicators. However, he cautioned against measuring market development solely by the rise in the NEPSE index. Instead, he stressed that the true impact of a growing capital market must be reflected in the real economy through tangible industrialization, investment, and job creation.