Equities Market
Equities prices dropped 2.4% in the second week of November 2025, with general declines across all sectors. The decline was largely driven by the large-cap counters (NSE 10), which fell by 5.3%. The NSE 20 and NSE 25 counters registered declines of 2.3% and 2.9% respectively. Additionally, banking sector stocks shrunk by 3.2% week on week.
Weekly turnovers however fell marginally at 0.4% to KES 3,605.47Mn, despite the shares traded increasing by 0.5%, from 131.42Mn the previous week to 132.07 shares.
Foreign participation contracted to 33.3% from 37.0% the week before accompanied by a drop in net foreign outflows from KES 1186.32Mn to KES 387.83Mn. Major foreign inflows happened on KCB Group while Safaricom, Equity Group and KenGen attracted notable foreign outflows.
Market activity remained on the banking, telecommunication and manufacturing sectors which collectively accounted for 88.5% of the markets total turnover and 59.5% of the total shares traded during the week.
Safaricom retained the top mover of the week with a turnover of KES 1289.34Mn from 44.49Mn shares traded in the week. KCB Group retained the second mover position with a turnover of KES 547.07Mn with 8.21Mn shares changing hands this week.
KCB Group and Stan-Chart are expected to announce Q3-2025 results on 19th November as NCBA is expected to release in Quarter 3 financials on the 20th of November, 2025.
BAT took third mover position with KES 320.88Mn after changing hands 0.71Mn shares.
Uchumi was the top gainer of the week with a 23.1% improvement from KES 0.39 to KES 0.48 per share immediately after reporting a first profit of KES 8.80Mn after several years of posting losses. Shri Krishana and Co-operative Bank Group took second and third top gainer positions at 9.6% gain to KES 8.20 and at 8.3% to KES 24.80, respectively.
During the week, Co-op Bank Group reported a 12.1% rise in profits before tax to KES 30.03Bn for Q3-2025 in comparison to KES 26.78Bn declared same period in 2024. The Group issued its first ever interim dividend of KES 1.00 per share whose book closure and payment dates are 26th November and 4th December, respectively. This saw its price up to appear in the top fiver gainers’ list.
[Graph in PDF]
Bonds Market
The secondary bonds recorded increased activity in the second week of November 2025, with turnovers growing by 36.46% from KES 40.95Bn to KES55.88Bn due to the November papers, FXD1/2012/020 (7-year, 12.000% coupon) and FXD1/2022/015 (11.4-year, 13.942% coupon) entering the market.
The two November papers were the most traded this week as investors cashed in while yield slowed down. The yield for the two papers, FXD1/2012/020yr and FXD1/2022/015, dropped by 26.54 bps and 54.45bps to 12.9872 and 13.2055 respectively.
The Central Bank of Kenya re-opened two more papers for November’s primary auction, FXD3/2019/015 (8.7-years, 12.340% coupon) and FXD1/2022/025 (21.9-years, 14.188% coupon). The auction for the two papers is to take place this week on the 19th of November 2025.
[Graph in PDF]
Yield Curve
The yield curve witnessed mixed movements in the week with some shifts being prevalent on influence from the reopened papers.
The 7-years papers all the way to the 10-years paper shifted downwards with yield shedding a high of 28.55 for the 7 year paper and 22.2bps for the 10 year paper. This drop in yield was due to influence of the November papers, FXD1/2022/015 and FXD1/2012/020 entering the secondary market.
In the coming week, we expect more upward shifts around 8.7-years and 21.9-year as investors realign themselves to push for better discounts from the primary’s auction due in the same week.
[Graph in PDF]
Interbank
The interbank Rate closed the week at 9.23% showing a marginal decline from 9.25% last week. Interbank rate edged down slightly to 9.23% from 9.25% indicating a minimal week on week change in overnight lending rate on average.
Liquidity conditions improved significantly during the week, as bank excess reserves expanded by 19.5%, from KES12.3 billion to KES14.7billion. This improvement was driven by coupon payments and rejected funds from the bond auction which injected funds into the system, alongside reduced borrowing requirements from commercial banks.
Closing demand decreased by 62.7% despite with the average weekly demand rising by 59.7% from KES 8.31Bn to KES 13.27Bn, indicating an increase in short-term funding pressures in the market that later died down at the end of the week.
[Graph in PDF]
Treasury Bills
The weekly T-bills auction remained oversubscribed at 127.3%, attracting KES 30.54 billion in bids against the KES 24.0Bn on offer, with KES 30.44Bn accepted.
Investor preference remained on the 364-day paper, which posted an oversubscription of 203.1%, receiving KES 20.31Bn in bids, of which KES 20.26Bn was taken up. The 91 day paper was also oversubscribed receiving KES 6.54Bn or 163.5% in bids while only accepting 6.49Bn. In contrast, the 182-day was undersubscribed, signaling a tactical shift by investors.
Yields inched down for the 364 day papers while the 182 day and 91 day papers were relatively stable.
[Graph in PDF]
Currency
The Kenyan shilling remained relatively stable during the week, averaging at KES 129.29 per US dollar. While it showed little change against the USD, the Kenyan shilling strengthened by 0.2%, 0.9%, and 0.6% against the British pound, euro, and Japanese yen, respectively.
Year-to-date, the shilling has remained stable against the dollar. However, gains from rising foreign exchange reserves are partially offset by high external debt obligations.
Forex reserves reached a new high of USD 12.29 billion, providing 5.4 months of import cover, well above the Central Bank of Kenya’s 4.0-month minimum. The reserves remain propelled by Eurobond inflows, diaspora remittances, and agricultural export receipts.
