NEPSE Heatmap

See the whole market at a glance.

Primary issues

Income & debt

Live market

Featured

Insights & Analysis

Expert reads and market education.

Explore

Read & learn

NEPSE Trading Network

The NEPSE Journal

Insights & Analysis

Market commentary, data deep-dives, and trading notes from the NEPSE Trading desk.

All Articles — Page 74

2898 posts

Top4 min read
Life Insurance Companies Scale Back on Single Premium Policies, Amid Rising Risks
Life Insurance Companies Scale Back on Single Premium Policies, Amid Rising Risks Life insurance companies in Nepal have significantly reduced their issuance of single premium policies, citing rising risks and unsustainable business practices. This reduction comes after a noticeable shift in policyholder behavior, with many individuals surrendering their policies prematurely or using them as collateral for loans, which has amplified risks for insurers. Decline in Single Premium Policies In the first six months of the current fiscal year 2082/83, life insurance companies issued only 7,946 single premium life insurance policies, representing a 23% decline compared to the same period last year when 10,309 such policies were issued. According to data from the Nepal Insurance Authority, the share of single premium policies within total policies issued has also decreased significantly. As of the end of Poush (December), single premium policies accounted for just 0.22% of the total policies issued, a notable drop from the 0.36% share in the previous fiscal year. A single premium life insurance policy is a type of insurance where the policyholder pays the full premium in a lump sum at the time of purchase. This policy had previously been promoted by insurance companies, offering a one-time commission of 6% to agents. However, this practice has been phased out due to the rising number of policy surrenders or the use of policies as collateral for loans, which have contributed to increasing risk for the insurers.
Dipesh Ghimire17 Feb, 2026
Top4 min read
Nepal's Banking Sector Sees Decline in Loan Interest Rates, Increasing Share Loan Activity
Nepal's Banking Sector Sees Decline in Loan Interest Rates, Increasing Share Loan Activity In recent months, Nepal’s banking sector has witnessed a notable shift, as commercial banks and financial institutions began offering share loans at interest rates lower than the average market rates. With rates 1-2 percent lower than regular loan offerings, there has been a surge in enthusiasm among investors, particularly in the stock market. This development is expected to increase market transactions and provide easier access for investors, contributing to the overall growth of the market. Continuous Decline in Interest Rates Interest rates in the banking and financial sectors have been on a downward trajectory, primarily due to a combination of factors such as increased liquidity in financial institutions and a shrinking credit flow. According to the latest data, the weighted average interest rate for loans by commercial banks dropped to 7.12% as of last Poush (December), signaling a downward trend in lending rates. Additionally, with the decrease in the base rate set by banks, which now stands at 5%, the overall lending rates have followed suit, offering even more competitive borrowing conditions. Financial institutions have also lowered the premium rates added to the base rate, which were once as high as 5%. Currently, they are offering loans with just a 1-1.5% premium due to improved liquidity levels.
Dipesh Ghimire17 Feb, 2026
Top3 min read
Nepal Stock Exchange Needs Restructuring for Competitiveness and Growth
Nepal Stock Exchange Needs Restructuring for Competitiveness and Growth The need to restructure Nepal Stock Exchange (NEPSE) for enhanced competitiveness has been a topic of discussion for decades. Several government reports over the years have pointed out the necessity of restructuring NEPSE to make it more business-oriented and competitive. A recent government budget presentation has reiterated this goal by including plans for NEPSE's restructuring. As part of this initiative, the government formed a committee under the leadership of Prakash Jung Thapa in 2022, tasked with studying and proposing recommendations for NEPSE's restructuring. The committee’s report focused on key areas such as capital increase, changes to the ownership structure, inclusion of strategic partners, and modifications to the board of directors. These proposals aim to transform NEPSE into a more efficient and competitive exchange.
Dipesh Ghimire17 Feb, 2026
Top3 min read
India Unveils Massive ‘Data City’ Plan in Andhra Pradesh to Boost Global AI Ambitions
India Unveils Massive ‘Data City’ Plan in Andhra Pradesh to Boost Global AI Ambitions India has announced an ambitious “Data City” project in Visakhapatnam, Andhra Pradesh, aiming to narrow the technological gap with the United States and China in artificial intelligence. The state government has unveiled plans to develop a large-scale ecosystem of data centers, AI infrastructure, and digital supply chains, positioning the coastal city as a major technology hub in South Asia. The initiative is being led by the Government of Andhra Pradesh, with strong backing from state leadership. Information Technology Minister Nara Lokesh said the AI revolution is no longer optional but inevitable, and that India must actively shape its future. According to him, the state has already secured investment commitments worth around $175 billion across 760 projects.
Dipesh Ghimire16 Feb, 2026
Top3 min read
Election Commission Issues 64-Point Code to Regulate Campaigning for House of Representatives Poll
Election Commission Issues 64-Point Code to Regulate Campaigning for House of Representatives Poll The Election Commission of Nepal has issued a detailed 64-point directive to political parties and candidates contesting the upcoming House of Representatives election scheduled for Falgun 21. The guidelines were made public through a press statement before the official campaign period began, with the aim of ensuring a free, fair, and dignified electoral process. The Commission said the directive is intended to prevent malpractice, intimidation, and misuse of money and power during the campaign. Under the new rules, candidates and political parties are strictly prohibited from obstructing anyone’s right to contest, campaign, or vote. Acts such as issuing threats, offering financial incentives, enforcing social boycotts, displaying weapons or explosives, and influencing voters through gifts, cash, food, or entertainment have been categorically banned.
Dipesh Ghimire16 Feb, 2026
Top2 min read
Microfinance Sector Records Sharp Profit Growth in Second Quarter of FY 2082/83
Microfinance Sector Records Sharp Profit Growth in Second Quarter of FY 2082/83 Nepal’s microfinance sector has posted a strong financial recovery in the second quarter of the current fiscal year 2082/83, with overall net profit rising by 73.17 percent compared to the same period last year. Improved loan quality, higher interest income, and supportive monetary policies have helped strengthen earnings across most institutions, signaling renewed stability in the sector. According to financial statements up to the end of Poush, microfinance institutions earned a combined net profit of Rs 4.79 billion this year, up from Rs 2.76 billion in the corresponding period of the previous fiscal year. The sharp increase reflects a turnaround from last year’s sluggish performance, when rising bad loans and liquidity constraints had weighed heavily on profitability.
Dipesh Ghimire16 Feb, 2026
Advertisement
Top3 min read
Only Seven Foreign Reinsurance Brokers Establish Offices in Nepal Despite Regulatory Deadline
Only Seven Foreign Reinsurance Brokers Establish Offices in Nepal Despite Regulatory Deadline Out of 44 foreign reinsurance broker companies registered with the Nepal Insurance Authority, only seven have established contact offices in Nepal so far, even after the expiry of the second regulatory deadline. The move highlights slow compliance with domestic regulations aimed at strengthening oversight and transparency in the reinsurance market. Under the Reinsurance Directive 2080, foreign brokers seeking to operate with Nepali insurers are required to register with the Authority and open a local office. Companies from India, Malaysia, the United Arab Emirates (UAE), and Singapore have so far complied with this requirement. The latest deadline, which ended in Poush, marked the second extension granted by the regulator.
Dipesh Ghimire16 Feb, 2026
Top3 min read
Real Estate Transactions Continue to Rise in Magh, Signaling Gradual Market Recovery
Real Estate Transactions Continue to Rise in Magh, Signaling Gradual Market Recovery Nepal’s real estate sector maintained its upward momentum in Magh of the current fiscal year 2082/83, extending the recovery that began in Mangsir. After months of slowdown earlier in the year, property transactions, land fragmentation, and related revenue collection have shown consistent improvement, indicating renewed activity in the housing and land market. According to data from the Department of Land Management and Archives, a total of 193,920 property transactions were recorded in Magh this year. In comparison, only 132,031 transactions had been registered in the same month of the previous fiscal year. This reflects a year-on-year growth of 16.57 percent, highlighting a noticeable revival in market participation. Land subdivision activities have also increased during the period. In Magh 2082, around 54,132 land parcels were divided into 120,426 individual plots. This compares with 51,027 parcels and 114,206 plots in the same month last year. The rise suggests that both developers and individual landowners are becoming more active, preparing properties for sale and development.
Dipesh Ghimire16 Feb, 2026
Top4 min read
Government Proposes Major Overhaul of Central Bank Law to Strengthen Independence and Governance
Government Proposes Major Overhaul of Central Bank Law to Strengthen Independence and Governance The government has proposed sweeping amendments to the law governing the country’s central bank, aiming to restructure its board, tighten the appointment and removal process of the governor, and reinforce institutional autonomy. The draft amendment to the Nepal Rastra Bank Act seeks to align the central bank’s framework with internationally accepted standards and reduce political influence over monetary authorities. Under the proposed revision, the board of Nepal Rastra Bank will be expanded from seven to nine members. The new structure will include five independent non-executive directors, giving them a majority position. Officials say this change is intended to limit direct government intervention and strengthen professional oversight in policy-making.
Dipesh Ghimire16 Feb, 2026
NEPSE3 min read
NEPSE Revises IPO Opening Price Rules, Shifting Focus to Face Value
NEPSE Revises IPO Opening Price Rules, Shifting Focus to Face Value The Nepal Stock Exchange (NEPSE) has revised its mechanism for determining the opening trading range of companies listed after issuing initial public offerings (IPOs). Under the new provision, companies with positive net worth will no longer have their opening prices linked to per-share net worth. Instead, the exchange will set the first trading range based on the face value of shares, allowing prices to fluctuate up to three times the nominal value. Previously, NEPSE determined the opening range by taking up to three times the net worth per share stated in a company’s prospectus. This method was considered closer to a firm’s financial position. However, the revised rule removes this provision, marking a significant shift in how newly listed stocks enter secondary trading. According to NEPSE spokesperson Murahari Parajuli, companies with positive net worth will now have an opening range capped at three times their face value. In contrast, firms with negative net worth will still have their opening range calculated based on three times their net worth. Officials say the change aims to simplify pricing and reduce disputes during the listing process.
Dipesh Ghimire15 Feb, 2026

NEPSEtrading

Primary issues

Income & debt

Live market

Read & learn

NEPSE Trading Network

Insights & Analysis

All Articles — Page 74

Life Insurance Companies Scale Back on Single Premium Policies, Amid Rising Risks

Nepal's Banking Sector Sees Decline in Loan Interest Rates, Increasing Share Loan Activity

Nepal Stock Exchange Needs Restructuring for Competitiveness and Growth

India Unveils Massive ‘Data City’ Plan in Andhra Pradesh to Boost Global AI Ambitions

Election Commission Issues 64-Point Code to Regulate Campaigning for House of Representatives Poll

Microfinance Sector Records Sharp Profit Growth in Second Quarter of FY 2082/83

Only Seven Foreign Reinsurance Brokers Establish Offices in Nepal Despite Regulatory Deadline

Real Estate Transactions Continue to Rise in Magh, Signaling Gradual Market Recovery

Government Proposes Major Overhaul of Central Bank Law to Strengthen Independence and Governance

NEPSE Revises IPO Opening Price Rules, Shifting Focus to Face Value

NEPSEtrading

Primary issues

Income & debt

Live market

Read & learn

NEPSE Trading Network

Insights & Analysis

All Articles — Page 74

Life Insurance Companies Scale Back on Single Premium Policies, Amid Rising Risks

Nepal's Banking Sector Sees Decline in Loan Interest Rates, Increasing Share Loan Activity

Nepal Stock Exchange Needs Restructuring for Competitiveness and Growth

India Unveils Massive ‘Data City’ Plan in Andhra Pradesh to Boost Global AI Ambitions

Election Commission Issues 64-Point Code to Regulate Campaigning for House of Representatives Poll

Microfinance Sector Records Sharp Profit Growth in Second Quarter of FY 2082/83

Only Seven Foreign Reinsurance Brokers Establish Offices in Nepal Despite Regulatory Deadline

Real Estate Transactions Continue to Rise in Magh, Signaling Gradual Market Recovery

Government Proposes Major Overhaul of Central Bank Law to Strengthen Independence and Governance

NEPSE Revises IPO Opening Price Rules, Shifting Focus to Face Value