The regulator has licensed the Nairobi Securities Exchange (NSE) to introduce derivatives and futures.
Capital Markets Authority (CMA) chairman James Ndegwa announced that the NSE has been granted a licence which will allow trading of futures and derivatives.
“The technical and policy committee of the board received extensive presentations from the NSE in respect of their Derivatives Exchange licence on Friday the 16 (October),” said Mr Ndegwa.
“The authority is now finally in a position to grant a licence to the NSE to conduct derivatives business and to commence and aggressive public awareness campaign to deepen capacity and understanding of the new opportunities and risks associated with derivatives contracts and markets.”
The CMA had initially granted the NSE a provisional licence in late 2014 after the laws allowing the instruments came into place.