State of the NSE

In this episode recorded on 09.07.2024, we host the Nairobi Securities Exchange (NSE) CEO, Frank Mwiti, for an in-depth conversation on the state of the exchange.We cover the current state of the securities exchange, market performance in 2024, access to data, listings from the government, the corporate debt market, and his vision for NSE’s future.Subscribe to get notified when we make a new post.Key Quotes“Currently, the participation, for example, by retail investors in Kenya is less than 10%. So, you can see that a huge chunk of our market is reliant on institutional capital. And by the way, more than 60 percent of that institutional capital is foreign.” “Given that we are in a high-interest environment, and my view, I think that is going to persist for quite a while, especially given the activities of the last few weeks in our country. The government is going to, in my view, continue borrowing at fairly elevated levels, the upper teens, which means that banks in all likelihood will continue to lend to the private sector in the mid-twenties. And that's a secure debt now, which means there is opportunity potentially to come to the public market and raise funds at potentially more competitive terms including potentially even raising a hard currency denominated funding through our market.”“The green bonds, let me call it the larger sustainability ESG agenda, there's more capital looking for opportunities than there are opportunities but the single biggest issue is origination and structuring.”Show Notes00:00:00 Introduction00:05:05 Overview of the NSE00:09:12 Kenyan Capital Markets00:12:15 2024 Market Performance00:20:52 Strategies to Attract Investors 00:35:54 Access to NSE Data and the Earnings Calendar00:45:43 Listing from the Govt, Tech Companies, and the Impact of AI00:52:58 The Corporate Bond Market00:59:56 Cost Of Investing in the NSE01:05:56 Future Outlook Get full access to The Mwango Weekly at mwangocapital.substack.com/subscribe