The total value of market capitalization in Kenya rose significantly by 34.8 per cent, from Sh1.44 trillion in 2023 to Sh1.94 trillion in 2024, according to the 2025 Economic Survey.
The report also shows strong growth in the insurance and pensions sector.
Gross premium income from life insurance increased by 18.5 per cent to Sh201.6 billion in 2024, up from Sh170.1 billion the previous year. Investments in the long-term insurance business grew by 23.4 per cent to Sh859.3 billion.
In the pensions sector, total assets under management grew by 20.3 per cent, reaching Sh2.21 trillion by the end of December 2024.
Meanwhile, the value of unclaimed financial assets received by the Unclaimed Financial Assets Authority rose slightly to Sh4.27 billion in 2024, compared to Sh4.22 billion in 2023.
To support economic activity, the Central Bank of Kenya lowered the Central Bank Rate (CBR) to 11.25 per cent in December 2024, down from 12.50 per cent a year earlier.
However, overall interest rates on commercial bank loans rose to 16.89 per cent during the same period.
The 91-day Treasury bill interest rate fell sharply to 10.32 per cent in December 2024, down from 15.70 per cent the previous year. The interbank lending rate also dropped slightly from 11.65 per cent to 11.45 per cent.
Broad money supply (M3) increased marginally by 1.0 per cent to Sh6.11 trillion, while M2 money supply rose by 7.8 per cent to Sh4.85 trillion. Quasi money and M1 also recorded growth of 11.1 and 3.7 per cent, respectively.
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