The Nairobi security exchange benchmark indicators at the bourse trading platform. [ photo / Hivisasa. ]
Foreign investors have made strong comeback at the Nairobi security exchange (NSE) as they are now the net buyers of shares at the bourse after a long period of political uncertainty.
According to a midweek note released by Standard Investment Bank (SIB), the foreign investors participation in the bourse has risen from 30 per cent to 80 per cent over the last few weeks as they even rush to purchase the once considered undervalued shares.
“Foreign investors maintained their net buying position for the ninth session in a row… their participation rose to 75.8 per cent - highest in two weeks,” read part of the midweek report released by SIB.
Kenya has been grappling with prolonged electioneering period following the nullification of August 8 presidential election by Supreme Court on September 1 leading to a fresh elections on October, but was later boycotted by the NASA coalition causing high political uncertainty in the country scarring off the investors.
Just before August 8 election, the NSE turnover dropped to Sh 166.6 million as the investors largely kept off the market fearing the post election reaction to the poll.
It was not until the upholding of Uhuru Kenyatta's win last month that the bourse began reviving to normal activities as almost all the listed companies posted green on the NSE benchmark.