Investors gained Sh42.1 billion in paper wealth on the Nairobi Securities Exchange (NSE), the highest daily gain in three weeks, as markets welcomed the Supreme Court ruling upholding Deputy President William Ruto’s election as the fifth President of the Republic of Kenya.
Market capitalisation increased to Sh2.192 trillion from Sh2.15 trillion on Friday, while Kenya’s Eurobond yields fell from 15.1 percent on Friday to 13.84 percent on the 10-year 2024 bond.
This was despite a US Labour Day holiday that resulted in low volumes, indicating market confidence that may allow companies to loosen their purse strings and put money back into the economy as economic uncertainties fade.
The Supreme Court upheld President-elect Ruto’s election on Monday, dismissing seven petitions challenging his victory in the August 9 General Election.
Businesses applauded the decision, which is expected to lift the country’s economic stagnation caused by the uncertainty of the court’s outcome since the August 8 general election.
East Africa’s largest economy, which has a history of disputed polls weighing heavily on the economy, has shown political maturity and adherence to the rule of law, which is expected to boost investor confidence.
