Nepal | September 29, 2020

Modernisation of secondary market faces delays

Himalayan News Service
Share Now:

Kathmandu, October 26

The Nepal Stock Exchange (Nepse) — the sole secondary market of the country — has failed to commence test operations of fully automated trading system that would eventually replace the semi-automatic trading system currently being used.

Initially planned for commencement by mid-August, Nepse is yet to finalise the date of the test operation of the new system.

According to Nepse, YCO Pvt Ltd has supplied 12 modules of the system out of 17 modules required to fully operate the upgraded system. When the contract was awarded in February, the system developer had agreed to supply the full system within 14 months at Rs 200 million.

Nepse officials informed that the process has been delayed because YCO Pvt Ltd — the supplier — has not completed the required works to test the new system.

“We are in constant touch with the developer and some features of the system are being tested internally,” said Chandra Singh Saud, general manager of Nepse. For now, Nepse is planning to begin testing the new system within November, but the date is yet to be fixed.

The new system will allow investors to place their orders to buy or sell shares online, and payment, clearing and settlement will also be done electronically.

Nepse and the Securities Board of Nepal (SEBON) were engaged in a long legal battle when Nepse began the procurement process of the system. The battle between the two organisations was finally settled by the Patan High Court on December 28, 2016, which paved the way for Nepse to move forward the procurement process of the new software.

The YCO Pvt Ltd had sold the system currently being used by Nepse in 2007. With the plan to implement the fully automated trading system, Nepse again selected the same company to supply the upgraded system. Earlier, SEBON had also directed Nepse to upgrade the trading system and synchronise it with international trading platforms.

Meanwhile, Nepal Investors Forum (NIF) has also urged Nepse to implement the fully automated trading system as soon as possible. In a meeting with the general manager of Nepse yesterday, NIF representatives demanded that a NIF member also be included in the implementing team.

“Fully automated trading system is essential for further growth of the market. So, Nepse should implement it as soon as possible,” said Ambika Prasad Paudel, chairman of NIF.

READ ALSO:


A version of this article appears in print on October 27, 2017 of The Himalayan Times.


Follow The Himalayan Times on Twitter and Facebook

Recommended Stories:

More from The Himalayan Times:

Kathmandu Valley records 817 infections on Monday

KATHMANDU: Kathmandu valley logged over 800 additional cases of coronavirus infection in the last 24 hours. As per the Health Ministry’s latest report, 817 new infections surfaced in the valley today, which 60.47 per cent of the total caseload. Read Also: 1,351 new cases take Nepal’s coro Read More...

Four Covid-19 fatalities recorded on Monday, tally shifts to 481

KATHMANDU: Four people passed away from Covid-19 related complications in the last 24 hours, with which the nationwide death-toll has moved to 481. Two women and two men lost their lives due to this infection, the Health Ministry’s latest update showed. Read Also: 1,351 new cases take Nepal Read More...

Royal Bengal Tiger of Chitwan National Park

Mahout killed in tiger attack in Chitwan National Park

CHITWAN: A man has been killed in a tiger attack in an intermediate community forest of Chitwan National Park today. Previously, a person was killed by a tiger two days ago on Saturday in the western part of Chitwan district. The deceased has been identified as Babana Chaudhary (55) of Ratnanagar Read More...

Coronavirus , vaccines, vaccines trails

Inovio's potential COVID-19 vaccine trial on partial clinical hold

LONDON: Inovio Pharmaceuticals Inc said on Monday the US Food and Drug Administration had placed a partial clinical hold on the company's planned mid-to-late-stage trial of its experimental coronavirus vaccine candidate. The company said the pause was not due to any side effects in its early-stag Read More...

Ronaldo double earns point for 10-man Juventus at Roma

ROME: Cristiano Ronaldo’s second goal of the night rescued a 2-2 draw for 10-man Juventus away to AS Roma in Serie A on Sunday, after Jordan Veretout had twice put the capital club in front. Veretout and Ronaldo netted penalties after both teams were penalised for handball, and the French midfield Read More...

Nepal COVID-19 Update: 1351 new cases, 742 recoveries, four fatalities recorded on Monday

KATHMANDU: Nepal’s Health Ministry, in its regular press briefing, shared the latest updates on coronavirus contagion from across the country, and government’s response to the health crisis. READ ALSO: Kathmandu Valley records 817 infections on Monday As of today, 998,407 tests throug Read More...

K-pop’s BLACKPINK drop teaser for title track ‘Lovesick Girls’ from debut album

KATHMANDU: K-pop’s most popular girl band BLACKPINK on September 28 announced Lovesick Girls, the title track of their debut full-length LP The Album. According to The Korea Times, the group's label YG Entertainment dropped a teaser poster on social media, announcing the title track, Lovesi Read More...

President issues three ordinances

KATHMANDU: President Bidya Devi Bhandari has issued three ordinances, including one related to prevention and control of acid and other harmful chemicals. The President issued these ordinances in accordance with Article 114 (1) of the Constitution of Nepal and on the recommendation of the Council Read More...