Market In Kenya Research Articles

Evaluation of the performance of a multiplex reverse transcription polymerase chain reaction kit as a potential diagnostic and surveillance kit for rotavirus in Kenya

BackgroundDiarrhea is a serious concern worldwide, especially in developing countries. Rotavirus is implicated in approximately 400,000 infant deaths annually. It is highly contagious elevating the risk of outbreaks especially in enclosed settings such as daycare centers, hospitals, and boarding schools. Reliable testing methods are critical for early detection of infections, better clinical management, pathogen surveillance and evaluation of interventions such as vaccines. Enzyme immunoassays have proved to be reliable and practical in most settings; however, newer multiplex reverse transcription polymerase assays have been introduced in the Kenya market but have not been evaluated locally.MethodsStool samples collected from an ongoing Surveillance of Enteric Pathogens Causing diarrheal illness in Kenya (EPS) study were used to compare an established enzyme immunoassay, Premier™ Rotaclone® (Meridian Bioscience, Cincinnati, Ohio, U.S.A.), that can only detect group A rotavirus against a novel multiplex reverse transcription polymerase chain reaction kit, Seeplex® Diarrhea-V ACE Detection (Seegene, Seoul, Republic of Korea), that can detect rotavirus, astrovirus, adenovirus, and norovirus genogroups I and II. Detection frequency, sensitivity, specificity, turnaround time, and cost were compared to determine the suitability of each assay for clinical work in austere settings versus public health work in well-funded institutes in Kenya.ResultsThe Premier™ Rotaclone® kit had a detection frequency of 11.2%, sensitivity of 77.8%, specificity of 100%, turnaround time of 93 min and an average cost per sample of 13.33 United States dollars (USD). The Seeplex® Diarrhea-V ACE Detection kit had a detection frequency of 16.0%, sensitivity of 100%, specificity of 98.1%, turnaround time of 359 min and an average cost per samples 32.74 United States dollars respectively. The detection frequency sensitivity and specificity of the Seeplex® Diarrhea-V ACE Detection kit mentioned above are for rotavirus only.ConclusionsThe higher sensitivity and multiplex nature of the Seeplex® Diarrhea-V ACE Detection kit make it suitable for surveillance of enteric viruses circulating in Kenya. However, its higher cost, longer turnaround time and complexity favor well-resourced clinical labs and research applications. The Premier™ Rotaclone®, on the other hand, had a higher specificity, shorter turnaround time, and lower cost making it more attractive for clinical work in low complexity labs in austere regions of the country. It is important to continuously evaluate assay platforms’ performance, operational cost, turnaround time, and usability in different settings so as to ensure quality results that are useful to the patients and public health practitioners.

The Effect of Macroeconomic Factors and Political Events on the Performance of Nairobi Securities Exchange in Kenya

Stock market plays significant positive role in development of the capital market. Political events and changes in macroeconomic variables have been suspected to affect the trading volume and stock return. Thus, this paper analyses the effect of macroeconomic factors and political events on the performance of NSE in Kenya covering the period from January 2000 to December 2014 using inflation, exchange rate, money supply, 91-Day Treasury bill and political events represented using dummy variables. The study uses secondary data the main source of which is the Capital Markets Authority quarterly bulletins and the Central Bank of Kenya statistics. OLS was applied to estimate the effect of macroeconomic factors and political events on the performance of NSE in Kenya. The regression results show that exchange rate, money supply, 91-Day Treasury bill and political events were significant except inflation. Money supply and political instability incidents shows a positive and strong correlation to NSE. Inflation had a positive correlation to NSE, although the relationship was not significant. The result also shows that exchange rate and 91-Day Treasury bill had negative correlation to NSE performance but was significant. Therefore, a joint effort from individuals, stakeholders, economists, investors and government is required to secure effectiveness of the financial market in Kenya since financial markets are dynamic, and affected by various macroeconomic factors and some political instability incidents over the recent past like the 2007/2008 post-election violence.. The result of the study may encourage and motivate the investors and policy makers both domestically and internationally. The government should ensure secure environment that would increase morale of investors and help them to make vital strategic decisions.

Capital Allocation in Unit Trust and the Growth of Capital Market in Kenya

Unit trust schemes approach capital allocation in different ways depending on where they are in the growth life cycle and their strategic focus on customer growth. An effective capital allocation strategy consistently creates value to investors’ funds and sustainable growth in the capital market. Therefore this makes capital allocation an important issue to investigate particularly in unit trusts in relation to the continuous shifting of business objectives within the capital market. This study is a useful point of reference for investors, fund managers and government agencies. This study therefore sought to establish the position of capital allocation in unit trust on the growth of capital market in Kenya. The study used explanatory non-experimental research design with the analysis being carried out using a panel data. The entire population involving all the twenty three (23) trust schemes to include all money market, equity and balanced funds managed by the schemes for the period between 2009 to year 2017. The research utilized secondary data because of the small number of unit trusts companies in the NSE and availability of the required data. Secondary data collection sheet was designed and used to collect and record all information necessary on unit trust funds from schemes annual reports, surveys and CMA publications for the period under review. Data were also analyzed using both descriptive statistic and panel multiple regression analysis by means of SPSS Version 21. Both dependent and independent variables were analyzed using panel data to determine the strength and relationships of the variables. The study revealed that Capital allocation contributed positively to the growth of capital market in Kenya. These findings were presented in the forms of a regression model. The study findings is used as a basis to recommend that the unit trust fund managers should actively evaluate the choices when allocating funds since it positively contribute to the growth of capital market. This would contribute to the realization of economic pillars in Kenya vision 2030. Keywords : capital allocation, capital market, growth and unit trusts DOI : 10.7176/RJFA/10-12-01 Publication date :June 30 th 2019

Domestic Savings in Unit Trusts and the Growth of Capital Market in Kenya

Unit trust funds have contributed to the growth of capital market in Kenya and indeed globally. However there is need to determine the specific contribution of unit trust in the growth of capital market; more so, the particular attribute of unit trust that attract the investment. Theoretically it is expected that as unit trust funds grow, capital markets equally grows but empirically there is some substantial growth in capital market though not in equal measure in unit trusts. The study therefore sought to determine the contribution of domestic savings in unit trusts on the growth of capital market. This was undertaken using explanatory non-experimental research design and analysis were carried out using panel data. A census involving all twenty three (23) unit trust schemes for the period 2009 to 2017 was carried out utilizing secondary data. The variables were analyzed using panel data to determine the relationships of the variables by use of fixed effect model. The study revealed a positive effect of domestic savings to the growth of capital market in Kenya. The findings were presented using a linear type of regression model. The study therefore recommend that greater emphasis be placed on domestic saving in order to benefit from its contribution to the growth of capital market and consequently supporting the economic pillar in Kenya vision 2030. Keywords: capital market, domestic savings, growth and unit trusts. DOI : 10.7176/EJBM/11-16-04 Publication date :June 30 th 2019

The Determinants of Stock Returns in the Emerging Market of Kenya: An Empirical Evidence

This study examined the determinants of stock returns for the emerging market of Kenya: The Nairobi Securities Exchange. The specific objectives were to establish if certain selected macroeconomic variables affect stock prices in Kenya, to examine the validity of the Capital Asset Pricing Model (CAPM) in the Kenyan market and to determine the sources of risk factors priced in stock returns in the Kenya market. The study finds evidence to suggest that there indeed exist a long-run equilibrium relationship between the selected macroeconomic variables and stock prices. Unexpected inflation is found to have a negative, but statistically insignificant long-run equilibrium relationship with stock prices in Kenya. Money supply has a negative and statistically significant long-run equilibrium relationship with stock prices. The exchange rates and short term interest rates are both found to have positive and statistically significant long-run relationships with stock prices. Further, the study finds evidence to suggest that excess market premium (β) is statistically significant as a source of the risk factor for the Kenyan market. The macro variables are found to be statistically insignificant.

Effect of Presidential Elections on the Stock Market: A Case Study of Kenya

This study seeks to determine the effect of presidential elections on the stock market in Kenya. The methodology used is event study methodology and the study looks at the 2017 election period, specifically the August initial elections and the October re-election. The key variables are NSE20 and the stock prices of every listed stock during the specified event windows. The study analyses the market as a whole and further subdivides it into its various sectors in order to analyse how different sectors are affected differently. The study finds that in the chosen event windows, the market as a whole is affected positively by the announcement of the results of the elections. Some sectors such as the commercial & services, energy & petroleum, manufacturing & allied sector and the telecommunication & technology sectors are affected positively by the announcement of the results of the elections. The agricultural sector is the only sector that is affected negatively by the announcement of the election results in both event windows.

Social Networks Stimuli: A Double Dekker Semi-Partialling Multiple Regression Quadratic Assigment Procedure (Mrqap) Approach: Case of Small-Scale Farmers in Kenya

Markets in Kenya are characterized by existence of information asymmetry among the parties involved. Like any other developing country, Kenyan markets involves high transaction cost especially in search of quality inputs and market information...

Does Public Debt Moderate the Effect of Inflation Rate on Securities Market Returns in Kenya?

While in the last one two decades, Kenya has witnessed increasing levels of public borrowing, both domestic and foreign, economic growth has slowed down and the performance of the securities market has been subdued with falling stock prices. This has prompted stock investors to review and/or realign their investment portfolios. While the inflation rate has been drastically fluctuating, public debt – which is strongly inflationary – has had an exponential increase of about 461 percent between 2008 and 2018. Although Kenya’s level of public debt is approaching unsustainable levels, massive borrowing still continues. Using secondary monthly data obtained from government and securities market databases, this paper analyzed whether public debt moderates the relationship between inflation rate and securities market returns at the Nairobi Securities Exchange. Time series multiple linear regression results show that whereas inflation rate has a statistically significant negative effect on securities market returns, public debt had an insignificant negative effect on securities market returns. More importantly, public debt does not statistically affect the relationship between inflation rate and the securities market in Kenya. Putting in place strategies aimed at reducing inflation as well as public debt can however have the effect of improving securities market performance.

Willingness to contract versus opportunity to contract: a case study in Kenya's French bean export market

AbstractWe characterize systematic differences in willingness and opportunity to contract for farmers in and out of the French bean supply market in Kenya. We find that the factors associated with being a low cost producer do not always align with the factors correlated with opportunity to contract. We also find that farmers in and out of the market differ on average in the premiums they place on buyer reliability, which suggests that imperfect contract enforcement could impact participation in French bean contracting.

Effects of mergers on processed milk market in Kenya

PurposeThe purpose of this paper is to determine the effects of the mergers and acquisitions on market prices, consumer welfare and aggregate profit of the merging firms and those of the non-merging firms and, therefore, answer the question on the overall effect of mergers and acquisitions on different performance measures on milk market using data from all the 34 licensed and active milk processors in Kenya.Design/methodology/approachA new model of analysis as developed from the Canadian Competition Policy maker, i.e. The Canadian Competition Policy merger simulation model, was used.FindingsThe study found that mergers and acquisitions lead to increase in market shares of the merging firms. The study also found that mergers and acquisitions have a significant effect on product price in the processed milk market. From the findings, the study concludes that mergers and acquisition not only lead to an increase in market shares of both merging and non-merging processed milk firms but also create market dominance due to reduction in the number of market players in the industry.Research limitations/implicationsThe study uses the data for the licensed and active milk processors in the industry. The dormant and the non-licensed processors are excluded. Future studies can use the farm-gate prices as opposed to final consumer prices for the processed milk market.Originality/valueThe study contributes toward providing information on the effect of buyouts on social welfares, prices, market share, profitability and other relevant market equilibrium performance measures in the processed milk market in Kenya.

Molecular Characterization of Newcastle Disease Virus from Backyard Poultry Farms and Live Bird Markets in Kenya.

Newcastle disease (ND) is a serious disease of poultry that causes significant economic losses. Despite rampant ND outbreaks that occur annually in Kenya, the information about the NDV circulating in Kenya is still scarce. We report the first countrywide study of NDV in Kenya. Our study is aimed at evaluating the genetic characteristics of Newcastle disease viruses obtained from backyard poultry in farms and live bird markets in different regions of Kenya. We sequenced and analyzed fusion (F) protein gene, including the cleavage site, of the obtained viruses. We aligned and compared study sequences with representative NDV of different genotypes from GenBank. The fusion protein cleavage site of all the study sequences had the motif 112RRQKRFV118 indicating their velogenic nature. Phylogenetic analysis revealed that the NDV from various sites in Kenya was highly similar genetically and that it clustered together with NDV of genotype V. The study samples were 96% similar to previous Ugandan and Kenyan viruses grouped in subgenotype Vd This study points to possible circulation of NDV of similar genetic characteristics between backyard poultry farms and live bird markets in Kenya. The study also suggests the possible spread of velogenic NDV between Kenya and Uganda possibly through cross-border live bird trade. Our study provides baseline information on the genetic characteristics of NDV circulating in the Kenyan poultry population. This highlights the need for the ND control programmes to place more stringent measures on cross-border trade of live bird markets and poultry products to prevent the introduction of new strains of NDV that would otherwise be more difficult to control.

The Regulatory Framework of the Derivatives Market in Kenya: An Outline

After almost a decade of stakeholder endeavors, the Kenyan capital market has taken a leap forward by the establishment of a pilot derivatives exchange under the Nairobi Securities Exchange. The stage is now set for the inception of a (formally regulated) derivatives market in Kenya. This paper seeks to provide a sketch of the legal framework for the derivatives market in Kenya. Subsequent articles will fill in the detail and color by attempting to focus on individual aspects of the law and further still analyze the effectiveness of Kenyan law towards maximizing the potential gains of a derivatives market while mitigating and curtailing the challenges and risks involved.

Africa’s Youth Unemployment Challenge and the Pursuit of Soft Skills Development by University Students

This paper seeks to address the growing challenge of youth employment in Kenya. The study explores how the provision and acquisition of soft skills by university students influence their employability in the current labour market in Kenya. The objective of the paper is to examine the current training programs in soft skills development being offered to university students and the extent to which they enhance the ability of the participants to obtain employment. We use a case study approach to ascertain the opportunities provided by the Employment Training Program which offers mentoring and coaching to young people in key soft and employment skills as they transition from tertiary institutions into the workforce. The paper triangulates quantitative and qualitative methodologies that draw on a pre-training survey, key informant interviews, a post training survey and focus group discussions to inform the study. The research shows that addressing the information gap for job opportunities can help reduce youth unemployment. The development of entrepreneurship, interpersonal skills, public relations and online jobs search skills are amongst the observed training gaps. The findings of the study further indicate that employers are interested in young people who are consistent, reliable, have good communication and presentation skills as well as realistic career expectations. The study concludes that whilst several students seem keen on obtaining soft skills, some are unable to capitalize on the acquisition of such skills to enhance their employment prospects. The paper recommends incorporating employability programs into the Kenyan educational curriculum at the secondary and tertiary levels to address the vicious cycle of unemployment.

A sharing economy? Unpacking demand and living conditions in the urban housing market in Kenya

Abstract With Africa’s urban transition underway, housing is a formidable challenge. Housing shortfalls and continued slum growth are consistently forecast. But what kinds of housing do current residents occupy? Do owners have better quality housing than tenants? How much do tenants pay and what features do they value? This study builds a demand-side understanding of housing using survey data from over 14,000 households in 15 Kenyan cities. Kenya’s urban housing market is characterized by renting and sharing. Approximately 86 percent of residents are tenants; they outnumber owners in 14 of 15 cities. Sharing is ubiquitous—households share houses, rooms, and/or facilities such as toilets and taps. In contrast to standard notions of an “acceptable” housing unit, only 18 percent of urban Kenyans live in a self-contained unit with a toilet, kitchen, electricity, and private water connection. The market is delivering two under-studied housing categories—compounds and dormitories—explicitly designed for sharing. These house 40 percent of urban households in individual rooms, but require sharing of toilets and water connections. Rents represent a significant share of household income, but indicate low ability to achieve ownership, if viewed as monthly mortgage payments. Hedonic regression analyses reveal the relative value of house features with electricity, kitchens and number of rooms emerging as important drivers of rent. Neighborhood conditions, such as lack of flooding and perceived safety, and neighborhood level infrastructure and services, such as garbage collection and access to transport, also have positive impacts upon rents. Our analysis urges a rethinking of housing policies, including reevaluation of what type of housing is deemed acceptable and affordable for very low income urban residents. It underscores the need to develop more and better-quality rental housing and calls for a reassessment of housing and infrastructure investment programs, as well as more creative approaches for expanding home ownership.

Effect of Trading Volume on Market Returns of Equity Securities Market in Kenya

The study aimed to establish the effect of trading volume on market returns of securities traded in Kenyan securities exchange market. The study used secondary data from all the firms listed in NSE during the period 2004 to 2016. The target population of the study consisted of the sixty 62 companies listed in Nairobi securities exchange market that is, both financial and non-financial companies. The study was a census study of all the sixty 2 companies listed in the Nairobi security exchange market for 13 years starting the year 2004 to the year 2016. The study started with descriptive and then diagnostic tests. The measures of central tendency used to test normality were mean, median, maximum and minimum value, standard deviation, skewness, kurtosis and Jarque-Bera (JB) test. The results from these tests showed that the variables were fairly normally distributed. The study further sought to investigate the stationality properties of market returns, trading volume. The study used five panel data unit root tests. Particularly the test were, Levin, Lin and Chu t, Breitung t-stat, Im, Pesaran and Shin W-stat developed, Fisher-type tests using augmented dickey fuller ADF and (Phillip and Peron) PP tests. The all these tests revealed that the variables were stationary on average. The study also sought to test the granger causality among the variable. The results from granger causality showed that some of the variables granger caused one another. The cointegration results showed that there was long-run equilibrium. The regression techniques used was Cross-section fixed (dummy variables) and Period fixed (dummy variables). The regression results revealed that the variables were statistically significant effect on market returns trading volume had a positive effect on the market returns. It is therefore in this light that the future research should consider other variables which would increase the predictive power of the model. The other relevant variables would be variables such as the size of the firm, market value of the firm and the macroeconomic variables such as exchange rate, inflation, money supply among others.

English

This research work investigates and evaluates the effects of varying lime composition on the compressive and flexural strength of compressed silicate limestone bricks and compares the results to the local blocks and bricks used in the Kenya market. The mix ratio used to make limestone bricks was binder (cement replaced with hydrated lime powder), sand and water cement in ratio of 1:5:0.4. The results showed that an increase in the lime content results into a decrease in the strength properties of the bricks. Clay brick, natural stone block and concrete blocks were bought in the local market and crushed for comparison. It was observed that the optimum strength performance was obtained at 60% cement replacement with lime which corresponds to 6.08 and 3.05 MPa, respectively for compressive and flexural strength. Key words: Clay brick, natural stone block, silicate limestone compressed bricks, compressive strength and flexural strength.

The Interbank Market in Kenya: An Event-Based Stress Analysis Based on Treasury Bill Market

This paper seeks to explore nexus between the volatility in the Kenyan interbank market and Treasury bill market in the event of market distress arising from collapses of a lender. Three stress triggering events are defined; -the placement of Dubai Bank, Imperial Bank and Chase Bank placement under receivership. The inclusion of Treasury bill market is aimed to ascertaining whether then Central Bank’s intervention in the market to correct inefficiency in the interbank market upon the collapse of a lender is either proactive or reactive. The EGARCH and TGARCH were used to model the relationship. Key finding of the study is that 91-Day Treasury bill rate positively and significantly affects the interbank market rate with the effect doubling in the wake of bank collapse.

Growing Kenya: Exploring Investment Opportunities in Kenya's Fertilizer Industry

In Kenya a significant part of the population faces food insecurity. Since fertilizers are noted for having positive impacts on agricultural productivity and on alleviating hunger, their use should be encouraged. There are no manufacturing plants in the country, meaning Kenya relies heavily on fertilizer imports, which has a negative impact on prices and availability. However, there are opportunities for manufacturing in Kenya. This paper provides a general overview of the fertilizer market in Kenya, briefly outlining the outlook for it and discussing some of the challenges experienced. In particular, the paper analyzes fertilizer use trends in the Navaisha area, identifying the types of fertilizer used and the factors affecting fertilizer choices. Finally, the paper explores the business opportunities now available in the Kenyan fertilizer market.

Evaluation of coloured traps with kairomone attractant for monitoring thrips population dynamics on tomato crop in East Africa

Abstract Tomato is an important vegetable crop that is cultivated for the domestic market in Kenya and other East African countries. Thrips are one of the key pests hampering the production of tomato, both by direct damage to the crop and as vectors of tospoviruses. Field experiments were carried out over two planting times to evaluate the use of sticky traps for monitoring thrips infesting tomato in East Africa. Blue, yellow, and clear sticky traps with and without a thrips lure (Lurem-TR) were tested. Field observations for thrips catches on the sticky traps were made weekly until crop senescence. Sticky traps were replaced with new ones at each observation time. Additionally, both destructive and non-destructive samplings for thrips were done at each observation. Frankliniella schultzei (Trybom) and Ceratothripoides brunneus (Bagnall) were more attracted to blue than yellow traps. Frankliniella occidentalis (Pergande) attraction to blue and yellow traps was not distinctive. The addition of Lurem-TR on traps increased captures of F. schultzei and F. occidentalis but not of C. brunneus. Blue traps with Lurem-TR captures had the highest correlation with absolute estimate of thrips density on the plants. Rainfall had significant negative correlation with thrips population on the crops. Our results show that blue traps and Lurem-TR have strong potential for improving monitoring and management of thrips on tomato.

The Potential of Alternative Fuels in Kenya: Entrepreneurial Opportunities from Imperfect Markets

Overview Kenya's fuel industry exhibits characteristics of both a highly inefficient market as well as those found in markets with potential for generating lucrative business, depending on whether it can solve the fuel supply equation. Given the logistical and financial restraints, Kenya's indigenous oil and gas industry does not seem viable in the short term as an aspiration of achieving self-sufficiency in fuels and energy. The ongoing increase in transportation fuel demand is putting upward pressure on oil prices, worsening Kenya's dependence on oil imports and deteriorating the country's balance of payment as a result, which together with the introduction of market-friendly policies, such as the elimination of the tax on ethanol, open up an attractive ethanol market. Methodology We take a market research analysis approach to the question before us: the fuel market in Kenya. A comprehensive review of Kenya's fuel industry reveals a number of constraints to achieving fuel security. Conversely, the same chain of constraints shows scalable and profitable market niches for a local fuel industry to emerge. We examine how Kenya may harness its strengths and geographic position within East Africa to play a strategic role in the fuel supply chain. We examine the following approaches: 1. Government policies toward alternative fuels. 2. Supply chain: a. Local production: Is there enough feedstock? b. Distribution channels. 3. Demand response. 4. Impact on Kenyan balance of payments. Results The current imperfect fuel market in Kenya creates fertile terrain for an alternative fuel industry to flourish. The conditions that create momentum are as follows: Refined petroleum products are entirely imported in the absence of Kenyan indigenous oil and gas supplies. Poor infrastructure and logistics create cost differences for fuels across counties, allowing niche markets for petroleum substitutes to prosper. Growing demand puts a strain on existing infrastructure that needs substantial upgrading. Meanwhile, alternative ways of meeting the fuel logistics emerge from such physical constraints. Market-friendly policy actions, such as the elimination of taxes on ethanol, may encourage consumers to take a second look at ethanol as a feasible replacement for petroleum fuels. Conclusions Our research concludes that by diversifying its fuel portfolio and by developing a local ethanol market, the Kenyan government would not only be more energy secure in the medium and long term but it would also improve its balance of payments with annual savings offsetting annual investment in the new fuel. Moreover, shifting investment from oil imports to local ethanol resources would have a significant positive effect on the national GDP, benefiting the country as a whole.