Low dividend declaration by highly-rated banks and high interest rates is repelling investors from the stock market, spreading the gloom already running deep in the market.
Currently, daily turnover at Nepal Stock Exchange (Nepse) stand at less than Rs 20 million, far lower than the daily average of Rs 40 million last year, when the market was not performing well.
Stock analysts had anticipated the market to pick up, particularly after Nepal Rastra Bank (NRB) relaxed provision on margin-type lending and allowed banks to decide on margin call. The government had also promised large scale investment from public sector entities.
No comments:
Post a Comment