Nepal’s Share Market Investor Base Nears 8 Million as Demat Accounts Surge

KATHMANDU: Nepal’s capital market has witnessed a remarkable expansion in investor participation, with the number of Demat accounts approaching eight million and online share trading becoming increasingly mainstream across the country.

As the Nepal Securities Board (SEBON) enters its 34th year of operation, newly released data show that Nepal’s stock market has evolved from a niche investment platform into one of the country’s largest financial ecosystems.

According to SEBON, the number of Demat (beneficiary owner) accounts reached 7.9 million by the end of Baisakh of the current fiscal year. The figure represents more than 26 percent of Nepal’s total population, highlighting the rapid spread of share ownership and investment culture throughout the country.

The growth is also reflected in the increasing adoption of digital investment platforms. The number of investors registered on the Mero Share system climbed to 6.87 million, equivalent to nearly 23 percent of the population. Meanwhile, the number of investors actively using the online Trading Management System (TMS) to buy and sell shares reached 3.28 million.

The data indicate that Nepal’s capital market has become one of the most widely used financial platforms in the country, driven by easier access to online services, digital account opening, and growing public interest in stock market investments.

SEBON said the expansion of investor participation remains one of the major achievements of Nepal’s capital market over the past three decades. The regulator has been prioritizing financial literacy, investor protection, technology-driven services, and regulatory reforms to strengthen confidence in the market.

The growth in investor numbers has coincided with a rise in the number of market intermediaries. As of mid-May 2026, SEBON had licensed 488 securities-related institutions, including stock brokers, merchant bankers, mutual funds, depository participants, qualified institutional investors, and specialized investment fund managers.

The increasing investor base has also translated into greater capital mobilization through the securities market. During the current fiscal year, SEBON approved capital raising worth Rs 60.68 billion for 50 institutions through IPOs, rights offerings, debentures, mutual funds, and other investment instruments.

Despite a decline in trading volume compared to the previous year, Nepal’s stock market continues to expand in size. Market capitalization reached Rs 4.56 trillion, while the number of listed companies rose to 294, reflecting continued growth in the country’s formal investment sector.

The government’s budget and policy framework for the upcoming fiscal year has also placed significant emphasis on capital market development. Planned reforms include restructuring market institutions, expanding participation of institutional investors and Non-Resident Nepalis (NRNs), strengthening the bond market, and improving the overall regulatory framework.

With nearly eight million Demat accounts now registered, Nepal’s securities market is increasingly becoming a key channel for household savings, investment, and long-term capital formation, underscoring its growing importance to the country’s financial sector and economic development.