KATHMANDU, Aug 12: The Securities Board of Nepal (SEBON) has approved and implemented the Primary Capital Market Reform Policy, 2026, aiming to transform the country’s primary capital market into a modern, competitive, and internationally aligned financing source.
SEBON stated that the policy is designed to make the market reliable, technology-friendly, and capable of supporting Nepal’s long-term economic development. The reforms cover public issuance, securities distribution, pricing, issuance and sale management, digital systems, and investor protection.
The policy sets a 10–15 year goal of establishing the primary capital market as a major financing source for national development. It also seeks to make the initial public offering (IPO) process fully transparent, digital, and time-bound, while expanding access for small and medium enterprises (SMEs), technology-driven firms, and innovation-oriented businesses.
ASBA will be a breakthrough in the capital market
SEBON emphasized that the reforms will promote a fair, market-based pricing system while safeguarding the rights and interests of both small and institutional investors. Special provisions will be introduced for qualified institutional investors and anchor investors, with incentives for green finance, social impact investment, and sustainable development projects.
To streamline issuance, the policy mandates the use of end-to-end digital IPO systems, e-KYC, and digital prospectuses. A dedicated Public Issue Proceeds Monitoring Committee will be formed to ensure proper utilization of funds raised through public offerings.
Implementation will be carried out in phases, with SEBON developing electronic information exchange systems and regulatory coordination with Nepal Rastra Bank, the Office of the Company Registrar, Nepal Stock Exchange, and CDS and Clearing Limited.
Officials believe the reforms will make Nepal’s capital market more competitive within South Asia and enhance its ability to attract foreign investment.
