Why quoted company are few in Nairobi security exchange?

There are several reasons why there are relatively few quoted companies in the Nairobi Securities Exchange, including ¹:

• The Nairobi Securities Exchange has faced challenges in attracting new listings, particularly from the private sector.
• The exchange has historically been dominated by government-owned companies and a few large private sector companies.
• The process of listing on the exchange can be complex and costly, which may deter some companies from pursuing a listing.
• Some companies may prefer to raise capital through other means, such as private equity or bank financing.
• The exchange has faced competition from other exchanges in the region, such as the Dar es Salaam Stock Exchange and the Uganda Securities Exchange.
• The exchange has also faced challenges related to market liquidity and trading volumes, which can make it difficult for companies to raise capital and for investors to buy and sell shares.
• The exchange has been working to address these challenges and to attract new listings, including through the introduction of new products and services, such as the Growth Enterprise Market Segment (GEMS) and the Ibuka Program.
• The exchange has also been working to improve its regulatory framework and to enhance its corporate governance standards.
• The exchange has also been working to increase its visibility and to promote itself as a viable option for companies looking to raise capital and for investors looking for investment opportunities.