Launch Of The NSE Broker Back Office System – (BBO)

September 5, 2012:

The Nairobi Securities Exchange (NSE), Kenya Association of Stockbrokers and Investment Banks (KASIB), Capital Markets Authority (CMA) and Central Depository and Settlement Corporation (CDSC) have launched the NSE Broker Back Office (BBO) System.

The BBO System automates the back office. The back office will be connected with the trading platform and the clearing and settlement platforms. The entire process of transacting in securities will now have minimal manual intervention.

The BBO system has the following benefits:-

  • It automates the back office and enables senior management to monitor and audit activities through suitable alerts and exception reports;
  • It permits internet access to the system, helping Trading Participants expand their services across all forty seven (47) counties;
  • It supports IPOs, portfolio management and complaints processing;
  • It supports internet and mobile phone trading.

During the official launch ceremony held at the Nairobi Securities Exchange, Mr. Bob Karina the Vice Chairman of the NSE stated,” This is an affirmative step that the capital market players and industry as a whole has taken towards achieving international standards.”

The BBO system reduces the risk of trading in securities listed on the Exchange. It will allow Kenyans in the diaspora to access the stock market.

The BBO system will curb fraudulent activities by: Continue reading “Launch Of The NSE Broker Back Office System – (BBO)”

Monetary Policy Committee Meeting

The Monetary Policy Committee met on 5th September, 2012 to review market developments and evaluate the outcomes of its monetary policy stance. The Committee noted that the monetary policy stance continued to deliver the desired results on inflation and stability in the foreign exchange market.

The CBK will continue to monitor these risks and take appropriate actions. The Committee decided to reduce the CBR by 350 basis points to 13.0 percent.
Get the details here….http://www.centralbank.go.ke/images/docs/media/2012/MPC%20Press%20Release%20-%20September%205%202012.pdf

(Copyright: CBK)

The Road To Financial Freedom – 2

Financial freedom is more of a journey than it is an event. Actually it is not an event at all; it involves several continuing activities which make it a process, and a life time process for that matter.

As we said in our first article in this series, personal financial freedom is a path that has no strict rules; only conventions to guide you through. Your personal determination and effort is what will create a difference between all of you who read these articles. You need the inner motivation to get where you want to get to before you can begin this journey.

The journey is exciting and very adventurous, but also it has its challenges. During the hard times, the only thing that can keep you going is your inner motivation. That is why you need strong goals and achievable ones, if you are to maneuver through the waves of financial freedom smoothly.

And the journey begins:

First things first. Before you set-off for this journey, you need to know where you are standing as at now; so that incase you get lost, you can be able to trace your way back to the right track by looking at where you have come from. This brings us to the convention number one: know your current financial status.

By knowing your current financial status I mean you need to carry out a personal income-expenditure analysis. This simply involves knowing how much you spend per month as at now, and how much you get as income currently (monthly). Continue reading “The Road To Financial Freedom – 2”

Inflation At 6.06% – Not Excited At All!!

August inflation fell to 6.06% from the 7.74% in July, according to data released by the Kenya Bureau of Statistics. This marks another significant drop of the very crucial economic performance indicator.

Early this year, the rate was way above 15% ranging between 16% and 19%. The effect was an interest rates hike which saw treasury bills earn returns of as much as 20%. Commercial banks and mortgage firms were not left behind too in this interest rates uprising. They also hiked up their rates and we ended up with what I could call a “fermenting economy”.

People who had mortgage loans to repay felt the pinch most with their monthly installments almost doubling. Commercial banks also had to look for ways of mitigating the rising cost of capital, but bottom line, they also shot up their interest rates on loans. Borrowing has never been painful as it was during those times. Every body felt it severely; I mean the common mwananchi!

Then CBK came into the scene to try and calm down the swelling interest waves. To many analysts, there reaction was seen to be coming too late in the day, but as fate could have it, their monetary policy stance of maintaining the CBR at 18% for about six months seemed to work. Interest rates started falling following decline in inflation rates and the economic grotesque was gaining some beautiful shape now (that is, as much as the figures could show). Continue reading “Inflation At 6.06% – Not Excited At All!!”

The Road To Financial Freedom – 1

Everyone wants to be financially free or should I say to be financially stable? Whatever you choose to call it does not matter, what matters is that there is a common longing that we all have as rational human beings; that of having control over our personal finances and being able to do or get what we want whenever we want to.

Having been brought up in the village and having grown up in a middle income family, I tend to have tasted the sweetness of having what you want when you want it (at least for most of the times but not always). In addition, the reality of financial struggle in acquiring the very necessities of life was all around me. In each and every day, I could see many people trying their best to make a living.

Getting a proper meal was and still is a great hurdle for many families out there; which they have to face each day. That is why at times when one talks of financial freedom, some people tend to be more skeptical about that very fact. Having grown in poverty and gotten used to the “money is had to get” mentality, many people view financial freedom and stability as an exclusive privilege of the well-to-do in the society.

But all is not lost for you whose grand parents` names are not known country wide or whose parents` names are only know to your close relatives and your immediate neighbor. I mean there is an opportunity for each and every one of us to be financially free and stable irrespective of your current social class. Continue reading “The Road To Financial Freedom – 1”