Kenya is reforming its capital markets to enhance their contribution to national development.
President William Ruto said the world is witnessing the growing potential of equity and debt markets that calls for more strengthening.
He said well-functioning domestic capital markets enhance economic resilience by limiting exposure to volatile capital flows.
“They reduce dependence on external debt and diversify investment opportunities,” he explained.
Ruto spoke on Wednesday at the Paternoster Square in London during the bell-ringing ceremony at the London Stock Exchange.
The event signaled the start of trading at the Exchange.
He observed that Kenya will keep drawing experience from the London Stock Exchange to make Nairobi Securities Exchange (NSE) more robust and vibrant.
Reforms, he added, were already in progress underpinned by strategic reforms and a refreshed, market-focused strategy.
“These reforms helped NSE emerge as Africa’s top performer in dollar returns in 2024.”
Ruto noted that the Government was also broadening the stock market appeal to both local and international investors.
He explained that this was being done through the earmarking of key State assets for privatisation through Initial Public Offerings (IPO) at NSE.
“We are committed to a programme that identifies and prepares a pipeline of key government assets to be privatised through the Exchange.”
As part of this initiative, the President said the Government will list the Kenya Pipeline Company through an IPO this year.
“This will offer investors a unique opportunity to deploy capital in one of our most strategic infrastructure enterprises.”