Investors to lend and borrow shares directly

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Nairobi Securities Exchange (NSE) Chief Executive Geoffrey Odundo. FILE PHOTO | FRANCIS NDERITU | NMG

The board of directors of the Central Deposit and Settlement Corporation has approved the company’s plan to adopt direct Securities Lending and Borrowing (SLB) after the screen-based roll out which went live in February 2022 failed to gain traction and boost liquidity in the market.

SLB is a framework that allows the temporary transfer of shares from a lender to a borrower with an agreement to return the shares at a future date.

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