Topicals



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Recent Topicals

Regulatory Changes in the Kenyan Pensions Industry

Nov 28, 2021

In August 2021, the National Treasury published two legal notices affecting the Individual Retirement Benefits Scheme and Umbrella Retirement Benefits Scheme. The legal notices have amended the access rule to allow members, before retirement age, to access a maximum of 50.0% of the total accrued pension benefits, down from the previous regulation where members could access 100.0% of their own contributions plus 50.0% of the employer's portion. The additional clause stipulates that a trust corporation shall not appoint an administrator, fund manager, custodian or approved issuer who is related to the trust corporation by way of ownership, directorship or employment. This and many other regulatory amendments and guidelines point towards the Retirement Benefits Authority (RBA) proactive change of regulations aimed at boosting the pensions industry's development. This week, we will demystify these guidelines an...

Kenya’s 2022 Election Campaign Promises Tracker

Nov 28, 2021

Election Watch: Kenya’s next Presidential Elections are set to be held in August 2022 and with less than a year left, we have seen the political temperatures in the country continue to rise. As such, we shall be analyzing the economic campaign promises made by the politicians and the impact these promises will have on the economy. To read more on the same, click here;

Nairobi Metropolitan Area Mixed-Use Developments (MUDs) Report 2021

Nov 21, 2021

In December 2020, we released the Nairobi Metropolitan Area Mixed-Use Developments (MUDs) Report-2020, which highlighted that Mixed-Use Developments (MUDs) recorded an average rental yield of 6.9%, 0.1% points higher than the respective single use Retail, Commercial Office and Residential themes with 6.8% in 2020. The relatively better performance by MUDs compared to single-use developments was attributed to the prime locations mostly serving the high and growing middle income class, coupled with the concept’s convenience that incorporates working, shopping and living spaces.  This week we update our report with the 2021 market research that was con...

Kenya H1’2021 Listed Insurance Report

Nov 14, 2021

Following the release of the H1’2021 results by Kenyan insurance firms, the Cytonn Financial Services Research Team undertook an analysis on the financial performance of the listed insurance companies and the key factors that drove the performance of the sector. In this report, we assess the main trends in the sector, and areas that will be crucial for growth and stability going forward, seeking to give a view on which insurance firms are the most attractive and stable for investment. As a result, we shall address the following: Status of the Insurance Penetration in Kenya Key Themes that Shaped the Insurance Sector in H1’2021, Industry Highlights and Challenges, Performance of The Listed Insurance Sector in H1’2021, and, Conclusion & Outlook of the Insurance Sector. Section I:  Status of the Insurance Penetration in Kenya I...

Nairobi Metropolitan Area (NMA) Serviced Apartments Report 2021

Nov 7, 2021

In 2020, we published the Nairobi Metropolitan Area Serviced Apartments Report 2020, which highlighted that serviced apartment’s average rental yield declined by 3.6% points to 4.0%, from the 7.6% recorded in 2019. This was attributed to declines in monthly charges per SQM to Kshs 2,533, from Kshs 2,806 recorded in 2019, coupled with declines in occupancy levels to 48.0%, from 79.4% recorded in 2019. The decline in performance was attributable to reduced demand for hospitality facilities and services, due to the COVID-19 pandemic which saw the government ban all international flights and local flights into Mombasa and Nairobi, among other restrictive measures aimed at curbing the spread of the Coronavirus. This year, we update our report by focusing on; Overv...