Shankar Man Singh, general manager of Nepse, and PS Reddy, executive director of CDSL, inked the pact in the presence of Foreign Minister Sujata Koirala and her Indian counterpart SM Krishna on Friday. [break]
Under the agreement, CDSL will provide assistance to Nepse for implementation of CDS and scientific settlement of shares besides supporting in developing software, suggesting for introducing necessary laws, enhancing capacity of employees of Nepse and Securities Board of Nepal and development of International Security Identification Number.
CDS -- an online based trading -- would end physical transaction of securities and make it possible to complete the transfer of ownership immediately. Investors have to wait at least two weeks to get the share ownership transferred under the existing system which is entirely based on physical documents.
Under the CDS, Nepse will be able to manage and update accounts of investors, deposit of share certificate, inter-account and intra-account transfer, transaction settlement and management of information on corporate decision.
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