The national capital market is entering a phase of consolidation after a strong surge in trading activity earlier this year, according to latest figures from the Royal Securities Exchange of Bhutan (RSEB). Market data for March, April and May 2026 show a stock market that is gradually maturing, balancing periods of heightened activity with more stable trading levels while attracting a growing number of investors through digital platforms.
March emerged as the strongest month of the three-month period, recording more than one million shares traded and generating a market turnover of Nu 38.23 million. The month witnessed 1,676 trades across 16 listed securities, supported by 487 active investors and 359 users trading through RSEB’s mobile platform, mCaMS.
However, the market moderated in April, with total trading volume falling to 626,247 shares and turnover declining to Nu 23.49 million. The number of trades eased to 1,511 while active participants dropped to 411 investors.
Although the month-on-month decline appeared significant, the slowdown was largely expected following March’s unusually high activity.
March represented a peak in market activity, while April reflected a natural correction and return to more sustainable trading levels. Such fluctuations are common in smaller developing markets where a limited number of large transactions can significantly influence monthly figures.
The trend of moderation continued into May, when 455,483 shares were traded, generating a turnover of Nu 20.06 million through 1,547 transactions across the same 16 listed securities.
While volumes and turnover declined further, the market remained active and continued to attract investor interest. A closer look at trading patterns across the three months reveals a market characterized by relatively balanced buying and selling activity.
In March, investors purchased 631,418 shares worth Nu 21.16 million while selling 657,478 shares valued at Nu 22.31 million. The slightly higher selling activity was interpreted by analysts as profit-taking following gains in selected counters rather than a sign of weakening confidence.
April recorded 256,585 shares purchased with a value of Nu 11.95 million, while 254,114 shares worth Nu 11.19 million were sold. The near parity between buyers and sellers suggested a stable market environment with no significant demand-supply imbalances.
May data reflected a similar pattern, although buying activity edged ahead of selling. Investors purchased 316,296 shares valued at Nu 13.66 million compared with 290,608 shares sold worth Nu 13.08 million.
The higher value of purchases in May indicate renewed confidence in selected companies and expectations of future returns. “The consistency in buying and selling patterns across all three months is a positive signal,” a market expert based in Thimphu said. “It suggests that the market is functioning efficiently and that investors remain engaged despite fluctuations in turnover.”
One of the most encouraging trends emerging from the data is the increasing adoption of digital trading channels. RSEB’s mobile trading platform, mCaMS, recorded 359 users in March, 284 users in April and 307 users in May. While the figures fluctuated slightly from month to month, they demonstrated a growing shift toward technology-driven participation in Bhutan’s financial markets.
The stock market’s performance also comes against the backdrop of improving macroeconomic conditions. The government recently reported that Bhutan’s Gross Domestic Product (GDP) has expanded by 30 percent during the first two years of the 13th Five-Year Plan, increasing from Nu 280 billion to Nu 364 billion. At the same time, the country’s fiscal position has improved dramatically, moving from a projected deficit of Nu 56 billion to an anticipated surplus of Nu 20 billion.
Such developments are generally viewed as supportive of investor confidence and financial market participation. “Strong economic growth and improved fiscal performance create a positive environment for capital markets,” the expert explained. “Investors tend to be more optimistic when they see broader economic indicators moving in the right direction.”
While March represented a period of exceptional momentum, April and May demonstrated that the market is capable of sustaining activity even after the initial surge subsides. Despite the positive signs, the limited number of listed companies, relatively low liquidity and a small investor base remain key constraints to faster market expansion.
Tashi Namgyal, Thimphu
