Companies with over Rs 1 billion capital made compulsory to issue share


Kathmandu, May 29. The government has brought the provision that all companies of production sector with the capital of over Rs 1 billion will have to be listed in the share market by being transformed into the public limited company.

The budget unveiled by Finance Minister Dr Yubraj Khatiwada in the federal parliament Tuesday mentioned that the private equity, venture fund and hedge fund would be introduced to the capital market.

The foreign investment and loan floating would be made easier with credit rating from the budget. A regulatory body would set up for the effective regulation of Citizen Investment Fund, Employees’ Provident Fund and Deposit and Credit Guarantee Fund.

In order to capacitate the regulatory bodies, the related laws as Nepal Rastra Bank Act, Beema Act and Securities Act would be amended.