SEBON proposes Commodity Market Regulation; sets paid up capital of exchange at Rs 50 crore

Securities Board of Nepal (SEBON) is introducing Commodity Market Exchange soon as it is preparing to regulate the commodity market. For the same purpose, SEBON has organized an interaction program with all the stakeholders to inform about the proposed regulation governing the exchange and the commodity market. The board has set minimum capital requirement of Rs 50 crore in functioning the exchange. Moreover, investors of the exchange are barred from selling their shares for five years. An individual investor can hold up to five percent of ownership in the exchange with Rs 50 crore capital. However, foreign strategic partners can hold maximum of 51 percent ownership in the exchange.