In April 2025, Kenya’s financial markets saw mixed performance, as highlighted in the latest Cytonn Monthly Report. The Fixed Income segment led the way, with T-Bills oversubscribed at an average rate of 183.0%, up from 135.2% in March. Bonds also attracted high demand, with long-tenor papers like FXD1/2022/025 yielding up to 14.5%, offering investors strong real returns above inflation.
Meanwhile, the Equities market recorded a dip, with indices such as NSE 10, NSE 25, and NASI falling by 4.3%, 3.4%, and 3.6%, respectively. Large-cap banking stocks like Co-operative Bank and KCB dragged performance, though Safaricom and Stanbic posted modest gains.
In the Real Estate sector, the government introduced new Affordable Housing Programme rules requiring income proof for allocation. The REIT market remained active, with Cytonn’s D-REIT and I-REIT recording gains of 33.4% and 14.5%, respectively.
With inflation rising to 4.1% and new debt instruments like the USD 500M Eurobond in play, the Cytonn Monthly Report points to growing investor confidence in fixed income.
