The Nairobi Securities Exchange (NSE) extended its record-breaking run for a fourth consecutive week, adding KSh42.3 billion in investor wealth as market capitalisation rose to a fresh all-time high of KSh3.886 trillion, with all five major equity indices advancing despite a return to net foreign selling.
- •The rally was led by the NSE 20 Share Index, which gained 2.98% to 3,957.44, bringing the benchmark within 43 points of reclaiming the 4,000-point level for the first time since 2018.
- •Foreign investors switched back to net selling after a brief return to buying the previous week, recording net outflows of KSh300.7 million.
- •Investor attention now turns to the upcoming interim earnings season for evidence that corporate fundamentals can continue to support the market’s sustained re-rating.
The NSE All Share Index (NASI) rose 1.10% to another record close of 231.57, while the NSE 25 advanced 0.92% to a fresh all-time high of 6,419.43.
The Banking Sector Index added 1.04% to 264.19, extending its position as the best-performing benchmark this year, while the NSE 10 edged 0.45% higher to 2,478.64.
The latest gains reinforce the resilience of the 2026 equity rally, which has now persisted through stronger valuations, intermittent foreign selling and normalising trading activity. Since the beginning of the year, the exchange has added more than KSh940 billion in market value, driven primarily by banks and other blue-chip counters.
Trading activity moderated from the previous week as equity turnover declined 35.4% to KSh2.43 billion, while traded volumes fell 36.5% to 73.74 million shares. Unlike the previous fortnight, when turnover was influenced by the Safaricom block transaction, this week’s activity reflected normal market conditions.
Banking stocks continued to dominate investor interest with Equity Group emerging as the week’s most actively traded counter with KSh476.2 million worth of shares changing hands, followed by KCB Group (KSh370.6 million) and Safaricom (KSh361.2 million). I&M Holdings and Diamond Trust Bank completed the top five, with the five counters accounting for 60.7% of total market turnover.
Foreign investors switched back to net selling after a brief return to buying the previous week, recording net outflows of KSh300.7 million. Selling pressure was concentrated on Wednesday and Thursday, which together accounted for more than KSh384 million in net outflows. Local investors remained the market’s primarympared with 18.9% from foreign investors
Foreign Investor Flows
| Date | Foreign Buys (KSh Mn) | Foreign Sells (KSh Mn) | Net Flow (KSh Mn) |
|---|---|---|---|
| 2026-07-13 | 20.02 | 13.06 | 6.95 |
| 2026-07-14 | 220.61 | 138.96 | 81.66 |
| 2026-07-15 | 9.43 | 283.79 | -274.36 |
| 2026-07-16 | 6.52 | 116.84 | -110.32 |
| 2026-07-17 | 52.64 | 57.27 | -4.63 |
| Week Total | 309.22 | 609.92 | -300.70 |
With market capitalisation approaching KSh3.9 trillion, the NSE 20 nearing the 4,000-point milestone and all major indices holding at record or multi-year highs, investor attention now turns to the upcoming interim earnings season for evidence that corporate fundamentals can continue to support the market’s sustained re-rating.
Performance across individual counters remained mixed. Britam Holdings led the week’s gainers after rallying 26.12%, followed by East African Portland Cement (+9.07%), KenGen (+7.51%), Kenya Re (+6.95%) and Kenya Power (+6.08%). On the downside, Uchumi Supermarkets fell 6.32%, Flame Tree Group and East African Breweries each lost 4.81%, while Crown Paints (-4.56%) and the Absa NewGold ETF (-4.22%) rounded out the top decliners.
Activity in the fixed-income market improved. Secondary bond turnover rose 9.24% to KSh32.49 billion, while the NSE Bond Index gained 0.42% to 1,127.01, reflecting stronger trading activity in government securities.
Investor appetite for Treasury securities remained healthy despite a moderation in demand. Treasury bill auctions attracted bids of KSh44.0 billion against KSh28.0 billion offered, representing a 157.3% subscription rate. Yield movements were mixed, with the 91-day Treasury bill easing to 8.799%, the 182-day remaining broadly unchanged at 8.970%, while the 364-day bill edged higher to 9.042%.
Key Rates Snapshot: Week Ended July 17, 2026
| Indicator | Latest | Previous | Change |
|---|---|---|---|
| GDP Growth (Q1 2026) | 5.3% | 5.3% | Unchanged |
| Inflation (June 2026) | 6.4% | 6.4% | Unchanged |
| CBR | 8.75% | 8.75% | Unchanged |
| KESONIA | 8.75% | 8.75% | Unchanged |
| 91-Day T-Bill | 8.799% | 8.825% | -2.6bps |
| 182-Day T-Bill | 8.970% | 8.971% | -0.1bp |
| 364-Day T-Bill | 9.042% | 8.992% | +5.0bps |
| USD/KSh | 129.34 | 129.22 | +0.09% |
| FX Reserves | US$14.169Bn | US$14.127Bn | +US$42M |
| Import Cover | 6.0 months | 6.0 months | Unchanged |
| 10Y Eurobond (2028) | 6.99% | 6.83% | +16bps |
| 13Y Eurobond (2034) | 8.33% | 8.10% | +23bps |
| 30Y Eurobond (2048) | 8.92% | 8.76% | +16bps |
Beyond the markets, Stanbic Bank Kenya announced the appointment of Michael Mutiga as its new Chief Executive Officer, effective 1 August 2026, subject to regulatory approvals. East African Portland Cement Plc also issued a notice convening its 93rd Annual General Meeting on 7 August 2026.
