Kenya’s Stock Market Assets soar to Sh351 Billion

By Victor MUJIDU

Kenya’s stock market has seen a significant increase in assets, with a total valuation of KES351 billion.

This growth in assets is reflective of the strong performance of various companies listed on the stock exchange, as well as increased investor confidence in the Kenyan economy.

The stock market is an important indicator of the overall health of the economy, and the increase in assets is a positive sign for Kenya’s economic growth.

It also demonstrates the potential for further investment in the country, which could stimulate further economic development and create new opportunities for businesses and individuals.

Overall, this news is a positive development for Kenya and its economy, and is a reflection of the country’s growing prominence as an attractive investment destination in the region.

With the appreciation of the shilling against the dollar, including the serviced $1.5 billion Eurobond, the NSE has been able to make an upward trajectory with their market capitalization soars from Ksh1.421 trillion recorded on February 15th, 2024 to Ksh1.772 trillion on, April 4th, 2024.

The market cap-weighted index that consists of all securities on the NSE, increased by an impressive 49 per cent when measured in dollars since the beginning of the year, rebounding from a drastic 43 per cent decline in 2023.

Trading exchange sought to increase just in the last seven weeks of the appreciation of shilling against the dollar, resulting to an equity return of Ksh15.8 billion with a volume of 867.63 million shares exchanging hands.

Just in a year, Kenya has revived from the world’s worst-performing stock market to the best-performing.

This information is according to BlackRock Inc., the world’s biggest asset manager, as seen on Bloomberg. Kenya’s inflation since January has continued to ease, alongside its currency which has gone from a steep decline to an impressive increase.

To enhance the market performance and bringing a positive turnover, the Capital Markets Authority (CMA) unveiled strategic plan recently unveiled its strategic plan that encompass both national and regional development agendas for resilience market growth.

According to the Capital Markets Authority (CMA) of Kenya CEO Wyckliffe Shamiah, CMA Chairman Ugas Sheikh Mohamed and Nairobi Securities Exchange Acting CEO Mr. David Wainaina, the unveiled 2023-2028 CMA strategic plan will majorly base on customer growth, financial sustainability, performance and risk management, human resource capacity enhancement, and environmental, social, and governance practices.

The CMA strategic aims to focus on the importance of financial inclusion, digital assets, and regulatory reforms to drive market efficiency and transparency.