Capital Raising - Nepal

Nepal

The country in Nepal is expected to see the Total Capital Raised in the Capital Raising market market reach US$45.58m by 2024.
Traditional Capital Raising is set to dominate the market with a projected market volume of US$45.58m in 2024.
When compared globally, the United States is anticipated to generate the most Capital Raised, amounting to US$195,400.0m in 2024.
In Nepal, the Capital Raising market is seeing a rise in private equity investments, signaling a shift towards alternative funding sources for businesses.

Key regions: United States, China, India, Israel, Europe

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Analyst Opinion

The Capital Raising market in Nepal has been experiencing significant development in recent years.

Customer preferences: In Nepal, there is a growing preference among businesses and entrepreneurs to raise capital through various means. One of the main reasons for this is the increasing awareness of the benefits of capital raising, such as access to funds for expansion, investment in new projects, and strengthening financial stability. Additionally, businesses are also looking for alternative sources of funding to reduce their reliance on traditional bank loans, which can be difficult to obtain due to stringent requirements and high interest rates.

Trends in the market: One of the key trends in the Capital Raising market in Nepal is the rise of crowdfunding platforms. These platforms provide a convenient and accessible way for businesses and individuals to raise capital by pooling funds from a large number of investors. This trend is driven by the increasing use of technology and the internet, which has made it easier for entrepreneurs to connect with potential investors and showcase their projects or business ideas. Another trend in the market is the growing popularity of initial public offerings (IPOs) among Nepalese companies. An IPO is a process through which a privately-owned company becomes publicly traded by offering its shares to the general public. This trend is fueled by the desire of companies to raise capital for expansion and growth, as well as the increasing interest of investors in the Nepalese stock market.

Local special circumstances: Nepal's capital raising market is also influenced by local special circumstances. One such circumstance is the government's focus on promoting entrepreneurship and innovation. The government has implemented various policies and initiatives to encourage the growth of startups and small businesses, including providing tax incentives and creating a favorable regulatory environment. This has created a conducive environment for capital raising activities, as businesses are more confident in their ability to succeed and attract investors.

Underlying macroeconomic factors: The development of the Capital Raising market in Nepal can also be attributed to underlying macroeconomic factors. Nepal has experienced stable economic growth in recent years, driven by sectors such as tourism, remittances, and hydropower. This has increased the confidence of investors in the country's economy and created opportunities for businesses to raise capital for expansion and investment. Furthermore, the government's efforts to improve infrastructure and connectivity have also contributed to the growth of the capital raising market. Improved transportation networks and access to reliable electricity have made it easier for businesses to operate and attract investors. In conclusion, the Capital Raising market in Nepal is developing due to customer preferences for alternative sources of funding, such as crowdfunding and IPOs. The local special circumstances, including government support for entrepreneurship, and the underlying macroeconomic factors, such as stable economic growth and improved infrastructure, have also played a significant role in shaping the market. As Nepal continues to progress, it is likely that the capital raising market will continue to evolve and provide opportunities for businesses and investors alike.

Methodology

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on the amount of capital raised, the average of deal size and the number of deals.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use data from OECD, annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, CPI, number of small and medium-sized enterprises (SME), new businesses registered (number) . This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.