KATHMANDU: With the appointment of the new Finance Minister, there has been a leadership change at the Securities Board of Nepal (SEBON). Effective from July 18, Mahesh Baral, the joint secretary of the Ministry of Finance, has been appointed as the new chairman of SEBON. Baral's appointment comes through a ministerial decision by the Ministry of Finance.

Under the Securities Act, 2063 BS, if the SEBON chairman's position becomes vacant, a member representing the Ministry of Finance serves as the interim chairman. With the board chairman's position currently vacant, Baral, in his role as the finance ministry’s representative, has been assigned the responsibilities of SEBON chairman.

The board informed that the newly appointed chairman took the oath of office and secrecy before Finance Minister Bishnu Prasad Paudel on July 18.

Baral, who is also the Chief Customs Administrator of Tribhuvan International Airport Customs Office, will now serve as the SEBON chairman in addition to his regular duties. Previously, Joint Secretary Narendra Kumar Rana represented the Ministry of Finance on the board's management committee. Rana was appointed by former Finance Minister Barshaman Pun and took on the role of SEBON chairman on May 21.

Speaking at the welcome program organized by the board on Thursday, the newly appointed chairman, Baral, instructed all employees to fulfill their assigned responsibilities. He emphasized institutional governance of the listed organizations and market participants, capacity building of the board and its staff, and the development, expansion, and stability of the market.

The Securities Board of Nepal, the regulatory body for Nepal's securities market with a capitalization of over Rs 3,800 billion, has been without a leader since January 5. At a time when policy stability is crucial for market development and expansion, changing the chairman of the board within one month is viewed negatively by stakeholders. They argue that replacing the finance ministry’s representative, who has been given responsibility for only a short period while the board chairman's appointment process is unclear, could negatively impact performance.