January 11, 2021 | Investopaper
Securities Board Of Nepal (SEBON) has made a provision for the parties involved in stock market to set aside at least one percent of their total profit for corporate social responsibility (CSR). By this provision, the central depository companies, credit rating agencies, securities brokers and securities dealers should set aside at least one percent of their total profits for CSR.
The Board has directed that the amount allocated for corporate social responsibility should be spent especially on investor education and raising awareness. Likewise, while spending in CSR, the expenditure should be distributed as per the need in all the states.
Niraj Giri, executive director and spokesperson of the SEBON, said that the new provision would help investors in making informed decisions and help in the development and expansion of the market.
Previously, the board had made provision for merchant bankers towards corporate social responsibility.