Kathmandu. Chairman of the Nepal Securities Board Bhishma Raj Dhungana said that the participation of the public in the market is increasing in an encouraging manner due to the steps taken by the board for the development and expansion of the capital market.

Stating that there has been a significant increase in active investors in the secondary market of securities, he said that due to the corona, the government has improved the trading system of Nepse and CDSC during the lockdown period and made it easier for investors to invest online.

The Nepse index has reached an average of 2900 points from 1365 points last July and has started trading at an average of Rs 17 billion. The market capitalization ratio in the gross domestic product was only 45 percent last year, but now the market capitalization is equal to the gross domestic product. This confirms the increase in the market and liquidity of the Securities and Exchange Board.

The number of demat account openers has increased by about 6 percent in a year and now exceeds 3.5 million. The number of my share accounts has tripled in less than a year to 2.6 million.

Till last year, barely 500,000 investors participated in the initial issuance of securities, but now about 1.8 million can apply. In July 2077, only 35,000 people used user IDs for online trading in the securities secondary market, but the number has increased 17 times and now more than 660,000 people have taken online trading facility.

On an average, 600,000 investors are active in business and investors are gradually becoming technology-friendly.

Reducing the cost of doing business has increased public interest in the market. At the same time, other areas of investment in the economy have shrunk. He said that the activities in the secondary market have increased historically due to the adequate liquidity in the banking sector.