Kathmandu-Investors responded positively to the government's outreach and expectations of policy reforms, driving buying pressure and lifting the Nepal Stock Exchange (NEPSE)  index.

On Friday, the NEPSE index registered a significant gain , climbing 79.74 points, or 3.06 percent, o finish the trading session at 2,677.54 points. 

Market sentiment remained overwhelmingly bullish, with advancing stocks heavily outnumbering decliners by 257 to 14, while three companies closed unchanged.

The day's trading registered a robust total turnover of Rs. 4.53 billion, driven by the exchange of over 10.32 million individual shares. Intraday charting showed a steady mid-day rally starting around 12:15 PM, which continuously pushed the index upward to finish near its session high by the 3:00 PM market close.

The top turnover chart features companies like Ankhu Khola Jalvidhyut Company Ltd  and Corporate Development Bank Limited, with turnover values exceeding  Rs 100 million Shreenagar Agritech Industries Limited led the market with a 15.00 percent  increase,  while Suryakunda Hydro Electric Limited  was the second-highest gainer, rising 14.83 percent. 

The market closed with significant gains across almost all major sectors.  Leading the market rally, the Manufacturing and Processing sector posted the highest gains of 4.60 percent, while the Life Insurance index reached the highest absolute value among all sectors at 12,266.37.

Conversely, Mutual Funds stood out as the sole decliner of the day, dropping slightly by 0.06 points or 0.29 percent.

Prime Minister Balendra Shah's proactive engagement with the private sector has boosted investor confidence, contributing to a strong rebound in Nepal's stock market on Friday after a prolonged decline following the formation of the new government.

In recent days, PM Shah has held a series of meetings with industrialists, contractors, banking and financial sector representatives, and professional associations to discuss measures to revive the economy, address private sector concerns, and improve the investment climate.

On Thursday, the prime minister also met Nepal Rastra Bank Governor Dr Bishwanath Paudel to discuss the stock market, the banking and financial sector, investment conditions, and broader economic recovery.