Ruto set stage for more listing of public companies

[RV Pundit]

• Tweet

I hope he sell safaricom, kcb, kengen and others when the prize is right.

Bell ringing to launch enhanced Nairobi Securities Exchange Market Place, Nairobi County. https://t.co/7FH66wVdfw

— William Samoei Ruto, PhD (@WilliamsRuto) October 11, 2022

[RV Pundit]

Finally, someone with brain is in statehouse

Government to privatize successful State Corporations in bid to spur NSE listings, President William Ruto says. pic.twitter.com/20CHxXf0XV

— Citizen TV Kenya (@citizentvkenya) October 11, 2022

[RV Pundit]

I look forward to many Kenyans buying, selling and growing their wealth using NSE. I also look forward to the time when boda boda guy or a mama mboga will trade on their phone as he or she awaits for the next customer instead of betting. – President William Ruto pic.twitter.com/2HUE8MNhKQ

— Citizen TV Kenya (@citizentvkenya) October 11, 2022

[RV Pundit]

BREAKING

President William Ruto says 6 to 10 companies will be listed at the Nairobi Securities Exchange within the next 1 Year.

— Kenyan Wall Street (@kenyanwalstreet) October 11, 2022

[RV Pundit]

PRESIDENT RUTO says at least six parastatals will be listed on the Nairobi Securities Exchange (NSE) during his first year in office. https://t.co/9zS6Pr9jCG pic.twitter.com/FgcI3RZCxe

— Daily Nation (@NationAfrica) October 11, 2022

[Githunguri]

Upuzi

[hk]

BREAKING

President William Ruto says 6 to 10 companies will be listed at the Nairobi Securities Exchange within the next 1 Year.

— Kenyan Wall Street (@kenyanwalstreet) October 11, 2022

This and spending cuts of at least 300b, is the right policy for growth. However there's no chance in hell that NSE can list 6 companies, simply put the market isn't deep or liquid enough to absolve 6 listings in one year.  The best way to deal with crony capitalism( state capture) is to privatization and deregulations. The government should just unload its shareholding in safcom, kengen, KCB, Kplc  to start with. The ports and pipeline are only profitable cause they're monopolies. 

[RV Pundit]

Agreed. Timing is not right but in meantime they can do prep work. When foreign investors return - the market will be ready. Getting kenyan - domestic investor excited is something else - but if Ruto does this in addition to "forced" saving through NSSF - NSSF will have the money to invest in this.

This and spending cuts of at least 300b, is the right policy for growth. However there's no chance in hell that NSE can list 6 companies, simply put the market isn't deep or liquid enough to absolve 6 listings in one year.  The best way to deal with crony capitalism( state capture) is to privatization and deregulations. The government should just unload its shareholding in safcom, kengen, KCB, Kplc  to start with. The ports and pipeline are only profitable cause they're monopolies. 

[hk]

Agreed. Timing is not right but in meantime they can do prep work. When foreign investors return - the market will be ready. Getting kenyan - domestic investor excited is something else - but if Ruto does this in addition to "forced" saving through NSSF - NSSF will have the money to invest in this.

This and spending cuts of at least 300b, is the right policy for growth. However there's no chance in hell that NSE can list 6 companies, simply put the market isn't deep or liquid enough to absolve 6 listings in one year.  The best way to deal with crony capitalism( state capture) is to privatization and deregulations. The government should just unload its shareholding in safcom, kengen, KCB, Kplc  to start with. The ports and pipeline are only profitable cause they're monopolies. 

NSSF as constituted will just be a slush funds for the "connected", government should just privatize social security, something similar to chile pension system. David ndii is a director in zimele asset management he's quite conversant in that sector.
Kenya pipeline should be constructing this pipeline for gas https://www.businessdailyafrica.com/bd/markets/commodities/tanzanian-gas-pipeline-to-cut-cost-for-kenyans-3980238 . The government can list kenya pipeline and money raised can be used to build the pipeline. The potential future earnings from the pipeline would be very appealing to many investors.

[RV Pundit]

Yes even KAA and most of these parastal - should be sold - at least upto 40 percent - with gov retaining 60 percent. I would go for strategic investor in industry for 35 percent; public for 25 percent; gov retain 40 percent;

I dont enough about pension fund - but this is Ndii moment to shine

NSSF as constituted will just be a slush funds for the "connected", government should just privatize social security, something similar to chile pension system. David ndii is a director in zimele asset management he's quite conversant in that sector.
Kenya pipeline should be constructing this pipeline for gas https://www.businessdailyafrica.com/bd/markets/commodities/tanzanian-gas-pipeline-to-cut-cost-for-kenyans-3980238 . The government can list kenya pipeline and money raised can be used to build the pipeline. The potential future earnings from the pipeline would be very appealing to many investors.

[RV Pundit]

Chile system - how is different from kenya RBA - or it's mandatory NSSF - but you pick your pension fund?

[sema]

The brokerage companies like Dyer and Blair will make the most and the mama mboga will make nothing. One of the guys there Nick Nesbitt tried to start a call center and failed (stopped paying his employee's) these are Kibaki era guys looking to get back into the money game that the enjoyed in 2008.

[hk]

Chile system - how is different from kenya RBA - or it's mandatory NSSF - but you pick your pension fund?

Yes, its mandatory but privately managed. The point is we aught to move from public funded pension to private funded pension especially for the young people. We can borrow from america's 401k model and chile model.  Without changing NSSF, kenyans will be reluctant to join NSSF. More importantly the statutory deductions are some of the reasons why the informal sector hardly ever formalize. 

[hk]

The brokerage companies like Dyer and Blair will make the most and the mama mboga will make nothing. One of the guys there Nick Nesbitt tried to start a call center and failed (stopped paying his employee's) these are Kibaki era guys looking to get back into the money game that the enjoyed in 2008.

Mama mboga can buy stocks in the IPOs, there no mama mboga owned brokerage firms. Its mama mbogas who bought shares in safaricom and kengen IPOs.

[Kadudu]

Can Kenya accomodate 6 to 10 IPOs in a year? I highly doubt it. Would be lucky to get even one IPO in a year. Currently money is flowing back to the US. Stocks worldwide have deeped. The climate is not right even for one IPO. Ruto should have set that as his goal in his first term and not in one year. This he will not accomplish. Ruto like Gachagua should learn to think first before uttering promises.

[RV Pundit]

Chile system - how is different from kenya RBA - or it's mandatory NSSF - but you pick your pension fund?

Yes, its mandatory but privately managed. The point is we aught to move from public funded pension to private funded pension especially for the young people. We can borrow from america's 401k model and chile model.  Without changing NSSF, kenyans will be reluctant to join NSSF. More importantly the statutory deductions are some of the reasons why the informal sector hardly ever formalize. 

I agree...I like the Chile model.....that would signal nssf death...and growth of pension funds...we would need strong RBA.200shs is small figure not formalize...big problem is KRA with taxation.I believe Ruto is ready to listen to good arguments...I would keep small percentage in nssf but give people the latitude to pick their pension fund for 80 percent of their funds.South Africa PIC is huge..

[RV Pundit]

Can Kenya accomodate 6 to 10 IPOs in a year? I highly doubt it. Would be lucky to get even one IPO in a year. Currently money is flowing back to the US. Stocks worldwide have deeped. The climate is not right even for one IPO. Ruto should have set that as his goal in his first term and not in one year. This he will not accomplish. Ruto like Gachagua should learn to think first before uttering promises.

Foreign investors have run but they will be back...gov can set their target valuation...do the IPO...local investor buy...and then later flip at huge profit to foreign investor....this whole point of public IPO...it's for Kenyans to own the pie..once these guys return nse will hit the roof encouraging people to invest more

[KenyanPlato]

Can Kenya accomodate 6 to 10 IPOs in a year? I highly doubt it. Would be lucky to get even one IPO in a year. Currently money is flowing back to the US. Stocks worldwide have deeped. The climate is not right even for one IPO. Ruto should have set that as his goal in his first term and not in one year. This he will not accomplish. Ruto like Gachagua should learn to think first before uttering promises.

Foreign investors have run but they will be back...gov can set their target valuation...do the IPO...local investor buy...and then later flip at huge profit to foreign investor....this whole point of public IPO...it's for Kenyans to own the pie..once these guys return nse will hit the roof encouraging people to invest more

you think stock market ni soko ya Mahindi

[gout]

Privatization will bring more transparency and better services. Why pay those per diems to people who do not care??

[gout]

As much as there are hungry hasoras many more are drinking daily. Awareness and public education is the way to go.
Mama mbogas are saving in their chamaas 500, 1000 a day. They just need education on how shares work- exit strategies. No need to buy land in desolate Ukambani.

Can Kenya accomodate 6 to 10 IPOs in a year? I highly doubt it. Would be lucky to get even one IPO in a year. Currently money is flowing back to the US. Stocks worldwide have deeped. The climate is not right even for one IPO. Ruto should have set that as his goal in his first term and not in one year. This he will not accomplish. Ruto like Gachagua should learn to think first before uttering promises.

Foreign investors have run but they will be back...gov can set their target valuation...do the IPO...local investor buy...and then later flip at huge profit to foreign investor....this whole point of public IPO...it's for Kenyans to own the pie..once these guys return nse will hit the roof encouraging people to invest more