The government will borrow from financial institutions,nse included,in the aforesaid fiscal year so as to supplement its budget. Let us see how nse will behave.

siku ya kufa nyani miti yote huteleza

The finance bill should put strigent rules to ensure compliance. At no interest when the gava owes you but in case you default or pay late you are charged.

The NSE may rebound if measures are put in place to protect the investors.


'Build your own dreams,
or someone else will hire you to build their's!'

- Author Unknown

Taxation on capital gains,investor compensation,schedule for GoK privitisation plans for 2009...etc

The governments plan on borrowing from the domestic market might have a negative effect on NSE. The reason being that the assets to be sold by the government will barely raise 50% of the 110b budget deficit and as such,it will result to T-bills and T-bonds. Since the bonds and the bills will push up the interest rates,they will offer much better returns. i will expect that investors might prefer the bill/bond market to NSE. So,expect investors to migrate from NSE to the bond market.....i stand to corrected.

NEVER TALK OF A RHINO IF THERE IS NO TREE NEAREBY - ZULU PROVERB

National bank PO.

Some deals are like glass. Sometimes it's better to leave them broken than try to hurt yourself putting it back together.