This archive report was first published on 20 May 2020.
Kenya's stock market has been gaining momentum, with Co-operative Bank and British American Tobacco recently added to the MSCI Frontier Markets Index.
According to the New York-based finance company MSCI, the two companies will join Safaricom, Equity Bank, and Kenya Breweries Limited in the index, which tracks the performance of blue-chip stocks in the country.
As of May 29, 2020, the MSCI Kenya Index had rebounded, gaining 7.1 per cent in April, more than the 6.7 per cent on the MSCI frontier market index.
MSCI stated, 'The following are changes in constituents for the MSCI Frontier Markets Small Cap Indexes, which will take place as of the close of May 29, 2020. MSCI Kenya Index additions British American Tobacco Ke and Co-op Bank Of Kenya.'
The MSCI Frontier Markets Index includes what are regarded as blue chip listed stocks from selected frontier markets of Asia, Middle East, Central and Eastern Europe, and Africa.
Inclusion in the index raises the visibility of a listed company among prospective investors looking for opportunities in frontier markets.
Kenya's stock prices have been recovering on demand by buyers targeting lowly priced counters to cash in on post-coronavirus recovery.
