Table of Contents
Full Sector Performance — April 1, 2026
| Sub-Index | Close | Change (pts) | Change (%) |
|---|---|---|---|
| NEPSE Composite | 2,776.36 | -74.73 | -2.62% |
| Development Banks | 5,968.73 | -196.41 | -3.18% |
| Finance | 2,463.17 | -77.11 | -3.03% |
| Hydropower | 3,817.66 | -110.68 | -2.81% |
| Investment | 105.79 | -2.90 | -2.67% |
| Banking | 1,456.41 | -34.49 | -2.31% |
| Hotels | 7,411.84 | -160.69 | -2.12% |
| Life Insurance | 12,914.31 | -267.52 | -2.02% |
Development Banks — Worst Performer at -3.18%
The Development Bank sub-index fell 196.41 points (-3.18%) to 5,968.73. Development banks are classified as Class B financial institutions in Nepal and are seen as more vulnerable to regulatory changes than commercial banks. SAPDBL continued its multi-session decline, falling another 7.28% to Rs 884.90 on April 1.
Finance Sector — -3.03% Decline
The Finance sub-index (tracking Class C finance companies) fell 77.11 points (-3.03%) to 2,463.17. Finance companies, which provide consumer and vehicle loans, are sensitive to NRB lending regulations and any tax policy changes that could affect their client base.
Hydropower — -2.81% Despite Circuit Gainers
The Hydropower sub-index fell 110.68 points (-2.81%) to 3,817.66 even as BJHL and SKHL hit the 10% upper circuit. This apparent contradiction is explained by the heavy selling in large-cap hydro stocks — NHPC (-7.17% to Rs 272), SSHL (-7.00%), HDHPC (-6.41%) — which outweighed the small-cap circuit gainers in index weight.
Banking — -2.31% Despite Relative Resilience
The Banking sub-index fell 34.49 points (-2.31%) to 1,456.41. KBL, which had been showing accumulation signals the previous session (+1.44% on 1.56M volume), fell sharply to Rs 221 (-4.74%) on April 1 — illustrating how quickly accumulation patterns can be overwhelmed by macro fear.
Life Insurance — Least Affected at -2.02%
The Life Insurance sub-index, despite its high absolute value, was the most resilient on April 1, declining 267.52 points (-2.02%) to 12,914.31. Life insurance companies' defensive business model and relatively stable earnings prospects offered some protection compared to more cyclical sectors.
Sector Recovery Outlook
When policy-driven selloffs reverse, recovery tends to be fastest in the sectors that fell hardest. Development Banks and Finance, if no adverse policy materializes, are positioned for sharp bounces. Banking and Hydropower will recover with broader market sentiment. Life Insurance may see steadier recovery given its defensive characteristics.
FAQs
Did all NEPSE sectors fall on April 1, 2026?
Yes — every sub-index ended in negative territory, making it a broad-based selloff session.
Which sector fell most on April 1?
Development Banks fell 3.18% to 5,968.73.
Why did Finance sector fall more than Banking?
Class C finance companies are more sensitive to regulatory risk than larger commercial banks.
What is NEPSE Hydropower index today?
3,817.66 on April 1, 2026, down 2.81%.
Which sector will recover first?
Historically, hardest-hit sectors (Dev Banks, Finance) bounce fastest once policy clarity returns.