Swarnim Wagle’s Secretariat Tells Investors Not to Panic

A prolonged decline in Nepal’s stock market following the formation of the new government has deepened frustration among investors, prompting a public appeal from Finance Minister Dr. Swarnim Wagle’s secretariat for restraint. As concerns over falling share prices continue to dominate investor sentiment, the finance minister’s secretariat has urged market participants not to be influenced by rumours or fear-driven narratives.

In a social media statement, the secretariat acknowledged that investors are naturally concerned when the value of their holdings falls on paper and expectations of further losses begin to spread. It also said Finance Minister Wagle and the government have taken recent criticism and public reactions over the market’s performance seriously.

Finance Minister Defends Broader Economic Outlook

While recognising the importance of the stock market as a key component of the national economy, the finance minister’s secretariat argued that the country’s broader economic environment is not as bleak as market sentiment suggests.

It pointed to adequate liquidity in the banking system, declining interest rates and signs of improvement in several economic indicators, saying the underlying conditions for investment are gradually becoming more favourable.

The secretariat also highlighted policies introduced under Finance Minister Wagle aimed at easing the burden on regular taxpayers and encouraging both spending and investment. It said tax relief measures have allowed thousands of individuals and businesses involved in revenue disputes to return to normal economic activity.

Institutional Reforms Presented as Foundation for Market Recovery

The statement maintained that a stable government, the leadership of Finance Minister Wagle and efforts to select transparent and credible officials for regulatory institutions are creating the groundwork for reforms in Nepal’s capital market.

According to the finance minister’s secretariat, leadership appointments have already been completed in some regulatory bodies, while recruitment processes for the remaining institutions are continuing.

It also said securities market regulators have begun implementing planned reforms and indicated that authorities are investigating attempts to manipulate the market, exert influence over regulators or create artificial instability.

Drawing a historical comparison, the statement referred to India’s 1991 Harshad Mehta securities scam as an example of how governments must remain alert to large-scale market manipulation.

Warning Against Rumours and Unverified Claims

Finance Minister Wagle’s secretariat also alleged that organised efforts are underway to spread negative narratives even as reform initiatives continue.

It argued that the government’s approach of prioritising work over publicity has created space for certain groups to circulate misleading information for their own benefit.

Among the rumours specifically mentioned were claims that prominent individuals were about to be arrested, that investigations had already begun against certain figures, or that major enforcement actions were imminent. The secretariat said such unverified reports have unnecessarily heightened investor anxiety and insisted that the government and the Ministry of Finance are not acting in the manner suggested by those rumours.

Investors Asked to Verify Information Before Acting

The finance minister’s secretariat advised investors not to treat Clubhouse discussions, WhatsApp and Messenger groups, self-proclaimed market analysts, office bearers of various associations or media outlets publishing unverified content as official sources of government information.

It warned that such channels may be influenced by personal or group interests.

Instead, investors were encouraged to study companies’ financial health, investment risks, market trends and official regulatory disclosures before participating in the secondary market. They were also urged not to make hurried investment decisions based on speculation and to seek information directly from the Ministry of Finance, relevant government agencies and market regulators whenever doubts arise.

The appeal comes at a time when the continuing fall in Nepal’s stock market has placed pressure on both retail and institutional investors. While Finance Minister Wagle’s message seeks to restore confidence, rebuilding trust in the market is likely to depend not only on policy commitments but also on visible progress in implementing promised reforms.