Investors protest spread across the nation; Protesters seen on the streets of different towns of the country

Investor’s agitation broke out on Sunday when the government announced imposition of unjustifiable CGT on bonus & right shares.  The protest has taken new spin as its outflowing like a hurricane across the country, investors are seen on the street, raising voice against unfair tax imposition.

Broker’s office was open throughout the day and investor attendance there is very minimum compared to normal trading days. Investors seems waiting for first trade to execute but no trade had been placed throughout the day, keeping NEPSE turnover zero for the first time in the history of Nepal Stock Market. All the investors in the broking house are in the wait & watch mood and are in confused state, as told by one of broker official of Kathmandu. Brokerage house were ready to execute trade but no investor came across to take initiative. All the investors across the country seem to be united to protest against the government’s move. 

Broker house in Valley got official notice from investors’s association, requesting them for not to execute trade. The notice which carried soft warning.

Investors group from Birtamod, Biratnagar, Butwal and Chitwan had published a press release expressing the disapproval of new CGT system, and they had grumbled against the increased CGT tax to 7.5%. Investors have promised to hold the “no-trade” movement until the government revises the CGT and they have demanded for transparent tax system which should hold the declining market.

ShareSansar had talked to protestors from different cities. 

“We will follow the main agenda of the protest; we have not received any notice officially. We came to protest on our own. There are three brokers in Chitwan and we request investors not to trade. We will continue the moment more vigorously in coming days if nothing happens”, said by one of the investor of Chitwan.

Birtamod: “We had accepted the raised capital gain tax but this new CGT on bonus & right is totally unfair.” He added, “If we make profit, we will happily pay the tax but imposing gain tax on loss is totally unfair and unreasonable. Broker offices are open in the town but no trade has been executed for far.”

Similarly we talked to many investors and all had the same outrage against the government. This is one of the most unusual and historic moment we have ever witnessed in capital market. More than 2 lakh active traders are silent, among the billions of stocks, not one single stock had been traded throughout the day. This shows the unanimity among the investors’ opinion on the new tax calculation method.