Nepalis In Foreign Employment To Get 10 Percent Reservation In IPO
May 31, 2022 | Investopaper
Nepalis who have gone for foreign employment will now get 10 percent reservation in the primary share issue (IPO).
The government, in the budget presentation for the fiscal year 2079/80, has put forward such a policy with the objective of encouraging Nepalis living abroad to send remittances through legal channels.
Earlier, there was no provision for IPO reservation for Nepalis who have gone for employment abroad.
The government has also made it mandatory for companies with a capital of Rs. 1 billion or more or turnover of more than Rs. 5 billion to issue shares to the general public and get listed on the stock exchange.
Similarly, the secondary market of securities will be made more competitive and the rights of investors will be protected by minimizing possible risks by expanding and diversifying the capital market, as per the budget statement.
