Nairobi Securities Exchange(NSE) saw more foreign investors cashing out, dumping a further KSh 1.7 billion ($14.3 million) worth of stocks in April 2022.
This brings the year to date (YTD) net selling position to Ksh.3.4 billion ($29.1 million) as the foreign investors continue to ditch frontier markets for safe-haven investments.
Last month, the portfolio outflows were the highest this year on a month over month basis and equaled exits through the first quarter to March.
Figures from Capital Markets Authority (CMA), January saw the only portfolio inflows from foreign investors at Ksh.422 million, with exits following soon after, fueled by renewed global volatility, including the Russia-Ukraine war.
The foreign portfolio exits so far this year are assessed as high risk, with the sell-offs exceeding the Ksh.50 million confidence marker.
According to the CMA, raising the profile of domestic investors can help stamp out volatility caused by the reduced foreign investor holdings.
Foreign investors have been taking flight, triggering a bearish run at the Nairobi bourse, with most counters remaining low since April.
During the month, the Nairobi All Share Index (NASI) shed 3.6 per cent of its value, while the NSE 20 and NSE 25 were down by 2.5 and 5.1 per cent, respectively.
In the year to date, the three indexes have declined by 10.1, 5.9 and 9.9 per cent, respectively, primarily driven by losses from blue-chip stocks.