Most banking stocks at the Nairobi Securities Exchange have gained value since the start of the year at an average of 12.56% according to data from Faida Investment Bank. NIC Bank is the highest gainer following the announcement of a merger with CBA Bank. As at end of business 15 February, its share traded at Ksh39.5 representing a 42 per cent gain from the start of 2019.
Other counters that have gained significant value include; KCB, Equity, I&M Bank, Co-op Bank, and Standard Chartered Bank which have gained 16 per cent, 22 per cent, 12.4 per cent, 8.7 per cent, and 5 per cent as at the last trading day respectively.
According to
The good performance by banks has been achieved despite challenges facing the sector such as the law limiting interest rates charged on loans and tough economic times.
Faida Investment Bank analysts predict that banking sector stocks will maintain the upward trend in the short term as investors wait for the 2018 earnings reports to be released in March.
