Santosh Narayan Shrestha Appointed Chairman of Securities Board of Nepal

Santosh Narayan Shrestha has been appointed the new Chairman of the Securities and Exchange Board of Nepal (SEBON). The decision was finalized during the cabinet meeting on Monday, following recommendations from a committee that shortlisted Shrestha along with two executive directors of SEBON, Nawaraj Adhikari and Muktinath Shrestha.

Shrestha, a seasoned professional with extensive experience in the financial sector, previously served as the Chairman of Swabhiman Laghubitta Bittiya Sanstha in Butwal for seven years. He also held significant roles, including serving as a director at the Nepal Electricity Authority (2013–2016) and leading Nepal Express Finance for a decade. Shrestha’s credentials include an MBA from Kathmandu University.

Filling a Leadership Void

The appointment of Shrestha comes nearly 11 months after the term of the previous Chairman, Ramesh Kumar Hamal, ended in Poush 2080 BS. The delay in appointing a successor stemmed from political and business rivalries, causing prolonged indecision and stagnation within SEBON.

The selection process faced multiple challenges, including an interim order from the Supreme Court that temporarily halted a new recommendation process. After extensive deliberations and interviews, the recommendation committee submitted three names—Shrestha, Adhikari, and Muktinath Shrestha—to the Council of Ministers, which ultimately chose Shrestha.

Challenges and Expectations

Shrestha takes charge of SEBON at a time when the board has faced criticism for stalled operations, weak stock market regulation, and indecision. Over 77 companies are awaiting IPO approvals, while the issuance of bonds, mutual funds, and rights shares has also been delayed.

The new Chairman is tasked with reviving stalled public offerings and ensuring market regulation is robust and effective. Additionally, debates over granting licenses for new stock exchanges have become a significant agenda item, with Shrestha’s leadership expected to shape the future of Nepal’s capital markets.

With SEBON now under Shrestha’s leadership, stakeholders are hopeful for decisive action to restore confidence and momentum in the stock market. The appointment is seen as a crucial step in addressing regulatory inefficiencies and fostering growth in the financial sector.