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Publish Financial Report as per New Regulation: NEPSE

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Publish Financial Report as per New Regulation: NEPSE
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January 23: Nepal Stock Exchange (NEPSE) has drawn attention of banks and financial institutions (BFIs) to publish their financial report as per 'Securities registration and issue Regulations 2073'.  On the backdrop of BFIs starting to publish their second quarter financial report of the current FY, NEPSE issuing a circular reminded BFIs to publish their report as per the new regulation.

NEPSE highlighted that the reports being published by the listed companies are as per the Securities Registration and Issue Regulation 2065 and not per the new regulation.

Although few companies published the details according to the new regulation, the heading of the notice reads the content of old regulation. Others failed to adapt the new regulation. As per the new regulation, companies need to mention the main cause behind any changes in reserve, income and liquidity during the quarterly period while publishing the financial report. Similarly, based on the previous experience, companies should include analytical report on conditions and events that might affect the reserve, profit and cash flow of the company. Moreover, the financial report should also contain administrative analysis on future business plan of the company.

The financial report of the company should also comprise opinions of company's administration on share trading and problems and challenges borne by the company. The new regulation also reads that the financial report should publish the strategies to manage the problems and challenges. Moreover, Chairman or CEO of the company should authenticate the details published in the financial report as per the new regulation.

 

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