NSE Launches Banking Sector Index
The Nairobi Securities Exchange has launched a Banking Sector Index effective Oct 1, 2025, tracking 11 banks...
✨ Key Highlights
The Nairobi Securities Exchange (NSE) has launched a new Banking Sector Index, effective October 1, 2025. This market-cap-weighted, float-adjusted index will serve as a benchmark for investors and facilitate the creation of new products like exchange-traded funds, following a strong performance by the banking sector in 2025.
- The index comprises the free float of all listed banks, with Equity Group Holdings having the largest market cap at KSh 218.9 Bn as of September 30, 2025.
- Frank Mwiti, NSE Chief Executive, highlighted the index as a demonstration of NSE's commitment to innovation and strengthening Kenya's capital markets.
- The launch comes amidst significant market rallies in 2025, with the NASI showing a 43.13% YTD gain and the NSE 20 up by 47.84% YTD as of September 30, 2025.
Continue Reading
Read the complete article from The Kenyan Wall Street
Part of the Day's Coverage
NSE Launches Banking Index, Family Bank Seeks Listing, and Visa Pilots Stablecoin Payments in Kenya - October 2025
The Nairobi Securities Exchange (NSE) launched a new Banking Sector Index on October 1, 2025, which will serve as a benchmark for investors and support the creation of new products like exchange-traded funds. Following this, Family Bank announced its shareholders will hold an Extraordinary General Meeting on October 27, 2025, to vote on listing the bank’s shares on the NSE by introduction. This move is intended to enhance liquidity for shareholders and improve transparency. In the financial technology space, Visa has launched a pilot program in Kenya enabling businesses to use stablecoins to pre-fund cross-border payments. This initiative, utilizing the Visa Direct platform, aims to reduce costs and ease liquidity pressures for financial institutions like banks and remittance providers.
