NAIROBI, Kenya- In a move aimed at improving transparency and communication, companies listed on the Nairobi Securities Exchange (NSE) will now be required to submit a forward-looking calendar of corporate announcements.
This initiative, driven by the Capital Markets Authority (CMA) and NSE, aims to provide investors with a clearer picture of upcoming key events such as earnings reports and dividend payout dates.
The new measure is set to enhance market predictability and boost investor confidence.
This corporate calendar mandate is part of a broader effort to improve communication between listed companies and their investors.
The calendar, which will include key dates like earnings releases and dividend payments, will be publicly available on company websites and other communication platforms.
By making this information easily accessible, the CMA and NSE hope to create a more transparent and efficient market.
In a joint statement, the two regulatory bodies emphasized the benefits for investors: “The aim is to provide investors with a clearer view of forthcoming corporate actions, enabling them to make more informed decisions and contributing to greater market predictability and stability.” The goal is not just transparency but also fostering a more reliable market environment.
Flexibility is also a key feature of this new rule. Companies will be required to notify the CMA and NSE immediately if there are any changes to the planned dates.
This ensures that the market stays updated with the latest information, keeping investors in the loop and minimizing surprises.
This push for clearer communication has been largely driven by investor demand.
In the previous financial year, several insurance companies struggled to meet earnings release deadlines due to challenges stemming from compliance with IFRS 17, the new accounting standard.
The calendar requirement is expected to prevent such delays and give investors a better sense of when key announcements will be made.
Overall, the new calendar initiative is expected to strengthen market efficiency. By setting expectations and ensuring timely updates, the CMA and NSE are hoping to build a stronger connection between issuers and investors.
