Capital Markets Authority of Kenya
|Capital Markets Authority of Kenya
|Chief Executive Stella Kilonzo
The Capital Markets Authority of Kenya (CMAK) is the regulatory body overseeing the Nairobi Stock Exchange (NSE), which lists and trades equities and bonds. The recent resignation of the CMAK's former chairman has highlighted reported clashes between reform-minded members and the brokerage sector over imposing new regulations on Kenya's capital markets.
The CMAK arose from a 1984 study jointly-authored by the Central Bank of Kenya on recommending measures to facilitate the development of Kenya's financial sector. In 1988 the Kenyan government established the Capital Markets Development Advisory Council and then the CMAK itself by an act of parliament one year later. CMAK was formally constituted and inaugurated in March 1990.
Chief Executive Stella Kilonzo was appointed CEO of the CMAK in December 2007 on an interim basis after the CMAK board failed to find an immediate successor to former CEO Edward Ntalami. Natalmi announced his resignation in November 2007 after four years at the helm of CMAK. Kilonzo was formerly the CMAK's compliance officer and is an graduate of Chicago's Loyola University with an MBA in Finance and Operations Management.
The CMAK announced the resignation of Board Chairman Chege Waruingi on January 12, 2009 after a five-year term beginning in December 2003 with is appointment by Kenya's President Mwai Kibaki. Local media claimed his departure was precipitated by hostility to new CMAK trading regulations from the Kenya Association of Stockbrokers and Investment Banks (KASIB). The new regulations would increase operating capital on the investment sector. Brokers also want the CMAK to perform an 'forensic audit' on the IPO of newly-privatized mobile phone carrier Safaricom, on which many investors claim to have lost heavily.
- Establishment of the Capital Markets Authority. Capital Markets Authority of Kenya.
- CMA switches to head-hunting in search for a new chief. Business Daily Africa.
- Stella Kilonzo. Capital Markets Authority of Kenya.
- CMA’s Board Chairman Resigns. Capital Markets Authority of Kenya.
- CMA credibility hurt as brokers fight back. The Standard.