Hydropower Stocks Dominate NEPSE Trading in Shrawan, Taking 46% of Total Turnover

The latest monthly trading data of the Nepal Stock Exchange (NEPSE) show that investor activity became heavily concentrated in the hydropower sector during Shrawan. Of the total turnover of Rs. 95.35 billion recorded during the month, hydropower companies accounted for Rs. 44.02 billion, representing 46.17% of total market turnover. This was a 33.19% increase from the previous period, when the sector recorded turnover of Rs. 30.50 billion. In other words, nearly Rs. 46 out of every Rs. 100 traded on NEPSE during Shrawan was associated with hydropower stocks. Commercial banks followed with turnover of Rs. 11.22 billion, accounting for 11.76% of the market, while the manufacturing and processing sector recorded Rs. 10.81 billion, or 11.33%. Together, these three sectors accounted for around 69.3% of total market turnover. Development banks recorded the highest growth in trading value, rising 40.33% to Rs. 6.34 billion. Meanwhile, turnover in debentures, mutual funds, promoter shares, non-life insurance and hotels and tourism declined significantly. Despite increased activity in several sectors, overall market turnover fell 11.10% from Rs. 107.25 billion in the previous period. However, the number of trading days also declined from 24 to 21, pushing average daily turnover slightly higher to around Rs. 4.54 billion. The data indicate that while overall market activity remained relatively subdued, investor trading interest was increasingly concentrated in selected sectors, particularly hydropower and development banks.