New NRB Governor Bishwanath Paudel Vows to Remove Nepal from Grey List and Boost Capital Market
“It is the responsibility of the central bank to uplift the morale of the capital market.”
Newly appointed Governor of Nepal Rastra Bank, Prof. Dr. Bishwanath Paudel, has made his first public statement following his appointment by the Council of Ministers, outlining his immediate priorities for Nepal’s financial sector.
Speaking briefly to the media, Dr. Paudel emphasized that his top priority is to work towards removing Nepal from the Financial Action Task Force (FATF) grey list. He acknowledged the serious implications of Nepal’s inclusion on the list, particularly its impact on foreign investment, international banking relations, and the country’s economic credibility. “Bringing Nepal out of the grey list will be my first priority,” he stated, signaling a strong commitment to improving the country’s anti-money laundering and counter-terrorism financing systems.
In addition to addressing international concerns, Governor Paudel highlighted the importance of strengthening domestic financial oversight. He committed to making supervision of banks and financial institutions more effective. “We will conduct detailed assessments of financial institutions to identify and resolve issues within the sector,” he said. This reflects a proactive approach to maintaining financial stability and preventing systemic risks.
On the capital market front, Dr. Paudel expressed a clear stance: “It is the responsibility of the central bank to uplift the morale of the capital market.” He pledged to work in a way that supports investor confidence and market development. Though the Securities Board of Nepal (SEBON) is the main regulator of the capital market, the governor acknowledged that Nepal Rastra Bank also plays a vital supporting role in creating an environment conducive to capital market growth.
Overall, Dr. Paudel’s initial remarks signal a focused and reform-driven agenda, one aimed at restoring Nepal’s global financial standing, improving regulatory frameworks, and reinforcing trust in both the banking and capital markets.