According to the latest 10-month financial report from Nepal Rastra Bank (NRB), total margin-type share loans surged by Rs 21.83 billion, pushing the total outstanding stock market credit to Rs 162.53 billion. This growth is primarily driven by high banking liquidity, falling interest rates, and boosted investor confidence.
Big Borrowers Lead the Surge
The central bank's data reveals that policy easing for institutional and large-scale investors has heavily skewed recent borrowing toward high-value loans.
- Loans Above Rs 1 Crore: This segment saw the most substantial growth, jumping by 17.2% (an increase of Rs 17 billion) to reach a total of Rs 115.94 billion.
- Loans Between Rs 50 Lakh and Rs 1 Crore: Medium and business-class investor activity also picked up pace, marking a 14.7% increase during the review period.
Modest Growth Among Small and Mid-Sized Investors
In contrast, borrowing among retail and small-scale investors grew at a much more conservative pace:
|
Loan Category
|
Growth Rate
|
Market Segment
|
|
Rs 25 Lakh to Rs 50 Lakh
|
11.0%
|
Mid-sized Investors
|
|
Below Rs 25 Lakh
|
6.3%
|
Small / Retail Investors
|
Banking analysts note that because traditional commercial and industrial sectors are not absorbing capital as expected, financial institutions are actively diverting their excess liquidity into margin lending to sustain credit growth.
