Kenya’s stock market has recorded a decline in total market value, with the Nairobi Securities Exchange (NSE) falling to KSh3.996 trillion as Treasury bill interest rates eased slightly during the week ending October 22, 2026.

Data from the Central Bank of Kenya (CBK), published in its Weekly Bulletin on Friday, October 23, shows that the NSE’s total market capitalisation declined by 0.38 per cent from KSh4.011 trillion recorded the previous week.

The NSE All Share Index (NASI), which tracks the performance of listed shares, fell by 4.56 per cent during the same period. The NSE 25 Share Index declined by 0.51 per cent, while the NSE 20 Share Index dropped by 0.39 per cent.

The figures indicate that the stock market experienced a difficult week despite increased trading activity at the exchange.

KPLC Deal Drives Trading Activity

Although share prices weakened, trading volumes at the NSE rose sharply, largely because of a major transaction involving Kenya Power and Lighting Company (KPLC).

According to the CBK, the number of shares traded increased by 6,156.13 per cent, while equity turnover rose by 1,420.48 per cent.

The regulator attributed the sharp increases to a block trade involving 4.5 billion KPLC shares valued at approximately KSh42.5 billion.

The transaction significantly boosted overall trading figures, although it did not translate into gains across the wider stock market.

The decline in the NASI suggests that the overall performance of listed shares remained weak during the reporting period.

Treasury Bill Rates Ease

Meanwhile, demand for short-term government securities remained strong during the Treasury bill auction held on October 22.

Investors submitted bids worth KSh28.8 billion against the government’s advertised target of KSh28 billion, representing a subscription rate of approximately 103 per cent.

The CBK reported that interest rates declined across the 91-day, 182-day and 364-day Treasury bills.

The average rate on the 91-day Treasury bill eased to 8.748 per cent from 8.750 per cent in the previous auction.

The 182-day Treasury bill rate dropped slightly to 8.859 per cent from 8.860 per cent, while the 364-day rate declined to 9.027 per cent from 9.038 per cent.

The 91-day instrument attracted the strongest demand, receiving KSh14.34 billion in bids against KSh8 billion offered.

The 182-day bill attracted KSh7.69 billion against KSh10 billion offered, while the 364-day bill received KSh6.80 billion against a similar target of KSh10 billion.

The results show that investors submitted more money than the government intended to raise, although demand varied across the three maturities.

Kenya’s Domestic Debt Reaches KSh7.822 Trillion

The CBK bulletin also showed that Kenya’s gross domestic debt stood at KSh7.822 trillion as of October 16, 2026.

Government securities accounted for KSh7.716 trillion of the total, comprising KSh6.501 trillion in Treasury bonds and KSh1.215 trillion in Treasury bills.

The figures highlight the government’s continued reliance on domestic borrowing to finance its financial obligations.

In the international bond market, yields on Kenya’s Eurobonds increased by an average of 2.17 basis points during the reporting week.

Meanwhile, turnover in the domestic secondary bond market declined by 28.36 per cent, reflecting reduced trading activity in government securities.

What the Latest Figures Mean for Investors

The latest market data presents a mixed picture for investors, with listed shares losing value while Treasury bill rates edged lower.

The decline in market capitalisation reflects changes in the combined market value of listed companies and does not necessarily mean that every listed company recorded losses.

Similarly, lower Treasury bill rates mean investors buying newly issued bills may receive slightly lower annualised yields than in previous auctions.

Investors will continue monitoring share-price movements, government borrowing costs and economic developments as they assess opportunities in Kenya’s financial markets.

The latest CBK figures show that equity-market performance and demand for government securities moved in different directions during the week ending October 22.