Today’s Economic Calendar Events
- Macroeconomic Data: The World Bank has revised Nepal's economic growth forecast for the current fiscal year (2082/83) down to 2.1%. This new projection accounts for the economic impact of the recent 'Gen-Z' movement and widespread flood damage.
- Government Announcements: In response to the recent floods and landslides, the government has decided to provide NPR 200,000 to the families of the deceased and NPR 50,000 for the construction of temporary housing for those displaced.
- Regulatory Update: SEBON employees' strike continues for its 14th day, bringing all regulatory work, including approvals for IPOs, right shares, and other corporate actions, to a complete standstill.
- Dividend/Corporate Action: Citizens Capital Limited is distributing dividends totaling NPR 28.05 crore from the profits of Citizens Mutual Fund and the capital for the fiscal year 2081/82.
Today’s Market Sentiment: Bearish
- Post-Holiday Sell-off: The market opened sharply lower after the Dashain holidays, with the NEPSE index plummeting by 58.55 points. This indicates strong selling pressure and a lack of investor confidence.
- Severe Economic Damage: Widespread floods have shut down at least 18 operating hydropower projects (16 in Ilam alone) and damaged numerous under-construction ones. This, along with damage to industrial corridors like Sunsari-Morang, signals a significant negative impact on corporate earnings and the broader economy.
- Downgraded Growth Forecast: The World Bank's significant downward revision of Nepal's GDP growth to 2.1% provides a grim macroeconomic outlook, directly influencing investor sentiment and expectations for market performance. The ongoing regulatory paralysis at SEBON further exacerbates uncertainty.
