• Fri. Jun 21st, 2024

Taarifa News

Latest News Around the Globe

CMA, KEPSA sign MoU to support uptake of capital market products

Jul 5, 2021
328 300

The Capital Markets Authority (CMA) has signed a Memorandum of Understanding (MoU) with the Kenya Private Sector Alliance (KEPSA) to support market deepening and leveraging capital market products to catalyse growth in line with the Big 4 Agenda and Sustainable Development Goals.

Through the MoU, CMA and KEPSA will seek avenues for private and public sector finance and investment necessary to support Kenya’s economic growth and complement development funding gaps. The two institutions seek to collaborate in the development of policy and regulatory interventions to create a conducive business environment that will support a robust, resilient, and inclusive financial sector through the growth of the capital markets.

The CMA Chief Executive, Mr. Wyckliffe Shamiah observed; ‘This partnership is expected to promote Small and Medium-Sized Enterprises’ (SMEs) utilization of the capital markets to raise long-term capital in appreciation of the critical role of SMEs in the economy, and especially in facilitating economic recovery from the effects of the Covid-19 pandemic. One of the strategies adopted by CMA to support SMEs tap into the capital markets is a review and possible revision of the existing eligibility and disclosure requirements under the Capital Markets (Securities)(Public Offers Listing and Disclosures) Regulations 2002 regulatory framework to make it more responsive to emerging and evolving market needs.’

‘With many of our Kenyan businesses adversely affected by the Covid-19 pandemic, this partnership will go a long way in ensuring that many of them discover their way to recovery. This MoU compliments our series of trainings that we have been conducting on businesses, especially in accessing financing. Our MSMEs will now be able to access the capital market products, hence easing their burden of getting credible financing for their operations’, said Ms. Carole Kariuki Karuga, the KEPSA Chief Executive Officer.

KEPSA and CMA will develop a joint workplan to support the activities under the partnership. Some of the planned activities include: – joint quarterly fora to engage KEPSA members on capital market products, and joint publications and research on financial markets to create financial quick reference materials to be distributed to critical stakeholders such as the youth, investment clubs and professionals.

Leave a Reply

Your email address will not be published. Required fields are marked *