Contents
- 1 How to find the best FX broker in Nepal?
- 2 What are the regulations in Nepal for Forex trading?
- 3 Forex trading educational opportunities in Nepal
- 4 What is the national currency of Nepal and what are currency pairs?
- 5 What are the most popular trading platforms in Nepal and why are they important?
- 6 Is Forex trading safe in Nepal?
Home to more than 28 million people, Nepal is a country in the middle of the rebuilding phase after the civil war in 2008. Even though it only stands at 165th in nominal GDP per capita, the country is one of the fastest-growing economies around the world. Recently, the internet connection has spread very fast in the country and many people have access to the world of the internet, which makes it a good place for Forex traidng.
Forex trading in Nepal is legal and you can go on and start trading right now, however, before you go on your way, there are some things that we want you to know. So, if you want to start trading Forex in Nepal, follow our guide carefully and keep our tips in mind while looking for the best FX broker!
How to find the best FX broker in Nepal?
Nepal is a developing economy, where finding the best Forex broker takes some courage and time. To make your job a lot easier, we have come up with a perfect list of the best Forex brokers in the country that you can see below. While working on this list, we made sure to keep in mind everything from authorization to the customer service team, to accepted payment methods, etc.
XM
Min. Depo
$5
Licences
FCA, CySEC, IFSC, ASIC, DFSA
Leverage
1:888
Platforms
MT4, MT5, WebTrader
AvaTrade
Min. Depo
100 USD
Licences
ASIC, FSA, FSCA, FFAJ, FSRA, FSC
Leverage
400:1
Platforms
MT4, MT5
Plus500
Min. Depo
$100
Licences
FCA, ASIC, CySEC, FSCA, FMA, MAS
Leverage
1:30
Platforms
WebTrader, Windows 10 Trader
Exness
Min. Depo
$10
Licences
CySEC, FCA, SFSA
Leverage
1:2000
Platforms
MT4, MT5
Forex.com
Min. Depo
$100
Licences
NFA, CFTC, FCA, FSA, IIROC and CIMA
Leverage
1:50
Platforms
WebTrader, MT4, MT5
CMTrading
Min. Depo
250 USD`
Licences
FSCA
Leverage
1:200
Platforms
MT4, WebTrader, Copykat
How to start Forex trading in Nepal?
Before you start FX trading in the country, there are several things to consider. Including:
- Always make sure that the broker you are using is authorized by an official body
- Use FX brokers that keep funds of their users segregated
- Pay good attention to payment methods and make sure that the national currency of Nepal is accepted
Also, it is always a good idea to trade with a Forex broker that has low transaction fees and has a good reputation among Forex brokers in the country.
What are the regulations in Nepal for Forex trading?
FX trading in Nepal is perfectly legal, and it is overseen and regulated by the Securities Board of Nepal, SEBON. SEBON does its job under the Securities Act 2016, which was published in 2007. As long as the traders remain compliant with the local tax laws, which include a capital gains tax on FX profits, they can start Forex trading freely.
The residents of the country have a very wide choice of internationally well-known Forex brokers, there are some problems in the country as well. For example, most of the Forex brokers do not accept payments in the local currency, which makes trading very hard.
There are a number of well-regulated Forex brokers that offer services to the citizens of the country and you should definitely use the ones that are authorized.
Forex trading educational opportunities in Nepal
Nepal is well-known for many different institutions offering different types of educational resources about Forex trading. Even though there are tens of different ones of them, we would recommend avoiding payment money for the classes. In most cases, these opportunities are a way for many to just earn money and waste their clients’ time.
After all, you should not be paying money for something that you can also access for free. There are many international Forex brokers that offer services in Nepal who has a different type of educational opportunities including webinars, E-books, and many others.
What is a demo account and how can it be used?
Demo accounts are one of the best ways of working on your trading skills. There are many brokers who offer these types of accounts and with this, they give you the ability to test out the website and Forex trading as a whole for free. Demo accounts can be used for free and while you are not spending your own money, you can get the same experience as you would with real money.
Many beginners use this opportunity to work on their trading strategy, and it can also be very helpful for experienced traders.
What is the national currency of Nepal and what are currency pairs?
Nepalese rupee is the official currency of Nepal, the currency is issued and controlled by the Nepal Rastra Bank, which is the central bank of the country. Its official code is the NPR. Sadly, Forex traders are not able to deposit money on their trading accounts with this currency, and it is not that actively used for FX trading either.
In most cases, the citizens of Nepal trade using major currency pairs. A currency pair is a combination of two different currencies that are traded at the same type, there are several different versions of them, majors, cross, and exotic currencies. Majors are the ones that are made up of USD and one other major currencies, such as CAD, AUD, EUR, etc.
When it comes to cross, they are the pairs that are made up of the major currencies, except for the USD. like CAD/AUD, EUR/GBP, etc. The Exotics are the ones that include USD and one other currency from developing countries, they include currencies like TRY, MXN, HUF, and many others.
Most of the FX brokers use Major currency pairs and it is recommended for beginners to start trading with these currencies and after understanding the Forex trading market better, you can start trading with whatever you like!
What are the most popular trading platforms in Nepal and why are they important?
Understanding trading platforms is very important, they are something that can open up a huge trading market for you. There are several different very popular Softwares available in Nepal, such as MetaTrader 4, MetaTrader 5, and the cTrader. But, in addition to these, some of the Forex brokers have their own trading platforms.
The most used trading platform of all is MetaTrader 4. MT4 has been around for 15 years now, it was released in 2005 by a Russian company called MetaQuotes and since then it was able to accumulate a huge following, as a result of which, more and more people are choosing to use MT4, even though it has a newer version of MT5, which has some advanced tools.
One of the reasons behind the huge popularity of MT4 is the fact that it has a huge following, which makes finding information about it very easy. So, in case you have some type of problem, you can always find it on the internet because there are many different forums that people use to connect with each other.
Also, with the help of MT4, you can trade using your PC and your phone. Mobile trading is very important in today’s world, where most of the people are always on the go. With a mobile version of the trading platform, you have the ability to always stay in touch with the world of Forex, and in case there is any type of a movement, you will not have to wait until you get home, and you will be able to trade wherever you are.
We believe that it is important to find the broker that has adopted the best Forex platforms. Below, you can see some of our top picks in regards to the trading platforms and general trading experience.
Licences
FCA, CySEC, IFSC, ASIC, DFSA
Min. depo
$5
Leverage
1:888
Platform
MT4, MT5, WebTrader
XM
Licences
ASIC, FSA, FSCA, FFAJ, FSRA, FSC
Min. depo
100 USD
Leverage
400:1
Platform
MT4, MT5
AvaTrade
Licences
FCA, ASIC, CySEC, FSCA, FMA, MAS
Min. depo
$100
Leverage
1:30
Platform
WebTrader, Windows 10 Trader
Plus500
Is Forex trading safe in Nepal?
Nepal is in the middle of developing right now, it just got out of the civil war and everything is very new to the people of the country. However, trading Forex in Nepal is getting more and more popular and many people are starting enjoying some of the best international Forex brokers offering their services to the citizens of Nepal right now.
Because of the number of regulations that the government has adopted in recent years, the field of Forex seems to be safe in the country, as long as you follow the guidelines and tips of the government. To stay as safe as possible, make sure to only trust Forex brokers that are regulated both, internationally and locally. Also, you should always keep in mind that the money that you get from Forex trading is taxable and you should be willing to pay your taxes before you start Forex trading in Nepal!