NAIROBI (Xinhua) --
Kenyan shilling slid 0.44 percent against the
U.S. dollar on the eve of Christmas trading on Monday as demand
for the greenback started to surge.
Commercial banks and
the Central Bank quoted the local unit against the dollar at
101.85 on Monday, a decline from 101.40 at the end of last week
the decline to slight rise in dollar demand from importers as
they ready for end of the year.
Last week, the
Kenyan shilling gained 1.1 percent against the dollar to hit a
five-week high from 102.60 recorded the previous week due to
thin dollar demand from oil importers amidst the continued tight
However, despite the
decline, the shilling is expected to close the year stronger as
it is trading 1.8 percent higher against the dollar
year-to-date, according to analysts.
Kenya urged to
review capital market rules to boost investment
NAIROBI (Xinhua) --
Kenya has been advised to boost investment in the
capital markets through privatization of state corporations and
review of restrictive rules.
according to Cytonn, a Nairobi-based investment firm, would
ensure active participation in the capital markets and encourage
new listing, which has eluded the Nairobi Securities Exchange (NSE)
in the last several years.
sophisticated capital markets relative to its east African
peers, ease of entry and exit is hampered by restrictive
regulations and low market liquidity, which contributes to high
transaction costs,” noted Cytonn in an investor report on
The firm called for
enhancement of investor education and evaluation of tax and
regulatory frameworks to encourage financial stability and
transparency of financial information.
Authority Chief Executive Paul Muthaura said recently the
regulator is reviewing its listing rules, including requirements
that firms must have been profitable in the past three or five
years, and the standards on debt to equity levels.
markets are considered the most sophisticated in east Africa,
with 62 listed companies and a market capitalization of 2.1
trillion shillings (20.6 billion U.S. dollars).