Kathmandu, December 1
The Nepal Stock Exchange (NEPSE) index declined by 9.99 points on Sunday, closing at 2,738. The dip came after a monetary policy review that introduced no significant changes, leaving investors cautious. Despite the fall in the index, trading volume rose to Rs 8.83 billion, up from Rs 8.54 billion recorded on Thursday. Among the traded companies, 63 saw their share prices increase, 178 experienced a decline, and 3 remained unchanged.
Investors showed strong interest in the development banking sector, which rose by 4.5%. The trading group saw a 9% surge, driven by a 10% rise in the share value of key trading companies. However, other sectors had mixed performances. Banking, finance, hydropower, investment, life insurance, manufacturing, microfinance, non-life insurance, and the “others” group all recorded declines ranging from 0.01% to 2.96%. The hotel and tourism sector was the only other notable gainer, with a modest rise of 0.30%.
Several development banks stood out as top performers. Corporate Development Bank, Sindhu Development Bank, Green Development Bank, and Saptakoshi Development Bank each recorded a 10% increase in share value. Excel Development Bank also saw significant growth, rising by 9.6%, followed by Support Microfinance at 9.4%, Miteri Development Bank at 7.6%, and Emerging Nepal at 7.5%.
Conversely, some companies experienced notable losses. Janaki Finance’s share value dropped by 10%, while Nepal Finance fell by 9.1%. Upakar Microfinance, Life Insurance Corporation, and Manushi Microfinance saw declines of 5.4%, 4.6%, and 4.1%, respectively.
In terms of trading volume, Excel Development Bank led the turnover, followed by NRN Infrastructure, Nepal Finance, Miteri Development Bank, and Ngadi Group Power. The strong performance of development banks indicates a shift in investor preference, driven by their growing appeal amidst limited policy adjustments.
