Week IV: Indices Advance as Turnover Rises and Foreign Outflows Ease
The Nairobi Securities Exchange (NSE) recorded modest gains across most equity indices in the week ended January 23, 2026, as trading activity picked up and sector leadership rotated, even as foreign investors remained net sellers.
- •The All Share Index (NASI) rose 0.38% to 194.60, adding 0.73 points, while the NSE 20 advanced 0.33% to 3,267.15.
- •The NSE 25 gained 0.40% to 5,301.84, while the NSE 10 slipped 0.30% to 2,028.78, reflecting pressure in a narrower set of large-cap counters.
- •The Banking Index rose 1.01% to 215.78. Market capitalization increased 0.38% to KSh 3.07 trillion.
Equity market activity strengthened. Weekly turnover rose 24.65% to KSh 3.20Bn, up from KSh 2.57Bn, while volumes edged higher by 0.82% to 79.84M shares. Trading concentration increased, with the top five counters accounting for 68.41% of total turnover, up from 58.61% the previous week.
Stanbic Bank led turnover with KSh 524.7M, closing the week at KSh 198.00, down 1.00%. Safaricom followed with KSh 487.2M in turnover and closed 0.17% lower at KSh 29.65. Equity Group traded KSh 448.7M, easing 0.36% to KSh 68.75, while KCB Group posted KSh 378.9M in turnover and closed 1.11% lower at KSh 66.75. BAT Kenya completed the top five with KSh 350.6M, ending the week marginally lower.
The banking sector remained the dominant source of liquidity, contributing KSh 1.70Bn, or 54.82% of weekly equity value. Outside banking, exchange traded funds featured prominently. The Absa New Gold ETF accounted for KSh 256.7M in turnover, closing at KSh 5,915, and was the strongest gainer of the week, rising 81.44% following price adjustments linked to underlying gold movements.
In manufacturing, activity reached KSh 430.1M, led by BAT Kenya, while EABL declined 3.60% to KSh 240.75 on KSh 72.5M in turnover. Telecommunications recorded KSh 487.2M, with Safaricom remaining the sole driver.
On the gainers’ board, New Gold Issuer (RP) topped the list with an 81.44% increase. Kenya Airways rose 41.10%, NCBA Group gained 8.33%, Unga Group advanced 6.67%, and Eaagads added 5.62%. Sasini and East African Portland Cement also remained firm earlier in the week, although Portland ended lower on a week-on-week basis.
Losses were led by BOC Kenya, which fell 9.04%. East African Portland Cement declined 4.99%, TPS Serena eased 4.19%, EABL dropped 3.60%, and Liberty Kenya slipped 3.50%.
Foreign investor sentiment improved but remained negative overall. Total foreign buys amounted to KSh 622.2M, while sells reached KSh 1.21Bn, resulting in a net outflow of KSh 583.3M. This marked a significant moderation from the prior week’s KSh 1.10Bn outflow. Foreign participation accounted for 34.83% of total market turnover.
Activity in the fixed income market remained elevated. Bond turnover rose 10.43% to KSh 83.57Bn, while the Bond Index edged up 0.11% to 1,164.72, pointing to stable yields amid sustained trading demand. The derivatives market cooled further, with 570 contracts traded worth KSh 3.24M, down sharply from the prior week.
Corporate activity remained in focus. Nedbank Group Limited formally notified NCBA Group Plc and regulators of its intention to acquire approximately 66% of NCBA through a pro-rata offer, in line with takeover regulations, setting the stage for a major transaction in the banking sector.
Macro conditions were unchanged. The shilling held at 129.03 per US dollar, KESONIA stood at 8.96%, the CBR remained at 9.00%, and inflation was steady at 4.49% in December.
