The Nepal Stock Exchange (NEPSE) has introduced a system allowing investors to place buy and sell orders 24 hours a day, a facility approved by the Securities Board of Nepal. The board has also set new rules to limit NEPSE’s circuit breaker thresholds to 5 and 8 percent, which will suspend trading when these limits are reached. These changes aim to facilitate smoother trading for Non-Resident Nepalis and make it easier to place orders even outside regular trading hours. Kathmandu, 2nd Baishakh.
According to NEPSE’s trading regulations, which have received approval from the Securities Board, shareholders can now place orders to buy or sell shares at any time, eliminating the previous need to wait for official market hours. NEPSE had submitted proposed amendments to the Securities Trading Regulations, 2075 to update this provision in a timely manner.
The Securities Board has approved the proposal after some modifications. It includes adjustments to the number of circuit breakers, limits on share price fluctuations, and permissible order placement time. According to a board official, “NEPSE initially proposed three circuit breakers, but the board decided to restrict them to two.”
The new guidelines are expected to make trading more accessible for Non-Resident Nepalis, according to the board official. Additionally, the High-Level Commission on Economic Reform had recommended allowing Non-Resident Nepalis to trade in the secondary securities market. Thus, the Securities Board has made some changes to NEPSE’s original proposals on circuit breakers.
