Monetary Policy Brings Enthusiasm to Stock Market

Kathmandu - The announcement of the 'cautiously flexible' monetary policy for the current fiscal year 2081-82 by Nepal Rastra Bank has generated enthusiasm in the stock market. This policy includes significant changes that have positively impacted investors.

Governor Maha Prasad Adhikari, while unveiling the monetary policy, announced the removal of the 200 million limit imposed on institutional investors. This step is believed to encourage large investors to invest more in the stock market.

The policy has reduced the policy rate from 5.5 percent to 5 percent and the bank rate from 7 percent to 6.5 percent. This will help increase liquidity in the banking sector and accelerate economic activities.

According to stock market analysts, such decisions can increase cash flow in the market, leading to a positive impact on stock prices. It will also help boost investor confidence and provide stability to the market.

Nepal Rastra Bank's move has brought excitement and hope to the stock market. While it remains to be seen how this will impact the market in the coming days, the initial response has been positive.