Bank promoters urge govt to issue broker license to banks

KATHMANDU: The Confederation of Banks and Financial Institutions Nepal (CBFIN), the umbrella organisation of the chairpersons and directors of banks and financial institutions, has urged the government to issue broker licenses to banks as soon as possible.

A CBFIN team led by its Chairman Pawan Golyan met Finance Minister Bishnu Poudel on Monday and requested him to issue broker licenses to banks.

Though a parliamentary sub-committee, in July, had recommended that banks be given a broker license after intensive research, the government is yet to implement this direction of the committee. A high-level committee formed by the government had recommended issuing broker license to banks. After that, the central bank and the Securities and Exchange Board of Nepal (SEBON) had started the necessary process.

In view of the current dire situation, CBFIN said that the government and the private sector should work hand in hand, make arrangements to issue broker licenses to banks through the stock market to mobilize financial resources scattered across the country, convert promoter shares into public shares and impose tax rate on the financial sector like other businesses.