NEPSE Technical Glitch Halts Share Trading, Investors Outraged

Kathmandu — Investors are outraged after share trading was suspended today, citing a technical problem. The Nepal Stock Exchange (NEPSE) stated that a technical issue arose in the Data Hub, where the servers of 72 trading member companies (brokers) are kept, since the morning of Ashoj 4. Efforts are underway to resolve it, but the problem has not been solved yet. In this situation, as trading could further damage NEPSE's trading system, the Stock Brokers Association of Nepal had submitted a request to postpone today's regular trading session.

Investors are angry that a sensitive sector like the stock market was suddenly suspended citing a technical problem. They said the government must no longer back down from restructuring NEPSE.

Tulsiram Dhakal, President of the Nepal Investor Forum, called today's trading halt unfortunate. "The recent steps by the government and the regulator had boosted the morale of stock investors," he said. "But halting share trading citing a technical problem raises a question mark over NEPSE's capacity itself."

Dhakal said they have been repeatedly stressing that NEPSE should be made modern and technology-friendly. "But NEPSE is moving ahead in the same old way," he said. "Today's trading halt is a catastrophic event like the devastating flood in Rasuwa. If the government does not restructure NEPSE in time, one cannot say such incidents will not recur in the future."

Dhakal said that halting share trading during the festival season and when bank installments are due is a big blow to investors. "Investors had high hopes in the market, which had just started moving positively after a long time," he said. "But when a technical problem occurs and trading is halted, investors are disappointed."

Prem Wali, a long-time active investor in the stock market, said investors are affected when trading is halted today. "When the stock market closes, not only investors but the government also loses revenue," he said.

Wali also expressed concern that news of the technology being hacked could leak sensitive investor information. "NEPSE's weakness also raises the question of how safe the investments of general investors are," he said.

NEPSE spokesperson Murahari Parajuli said the Data Hub is trying to resolve the technical problem. "Today's trading was postponed to prevent further damage," he said. "The Data Hub will probably resolve the problem today."

When asked whether trading will resume from tomorrow, Parajuli said that since the problem will be resolved today, trading can be conducted from tomorrow.