Kenya, as a leader among the emerging economies of Sub-Saharan Africa, offers day traders opportunities, from key export commodities to shares in thriving companies.
The Nairobi Securities Exchange (NSE) is the largest stock exchange in East Africa and one of the fastest growing on the continent with a market capitalization of around USD 12.5 billion.
Kenya’s financial markets are regulated by the Capital Markets Authority (CMA), which aims to promote market integrity and investor confidence by monitoring for regulatory compliance and enforcing laws.
Day trading involves opening and closing trading positions on instruments like stocks and derivatives (CFD trading in Kenya is very popular) within a single day. The aim is to profit from short-term price movements without incurring fees for keeping trades open overnight.
Short-term traders benefit from a wide range of tradable instruments associated with the country, including shares in companies listed on the Nairobi Securities Exchange, such as telecom giant Safaricom and coffee and tea producer Sasini.
Besides the soft commodities from Kenya’s large agricultural sector, other prominent local commodities include minerals such as gold.
Kenya has a market-based economy and there are no restrictions on day trading, though you should be careful to learn and follow the country’s regulations regarding fair trading practices.
The main regulator overseeing financial markets in Kenya is the Capital Markets Authority, while the Central Bank sets monetary policy and regulates, licences and oversees many of the country’s financial institutions.
