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Frontier and emerging markets (Vietnam)

Dylan Waller

Thematic (Sector/Industry)

<p>Kenya’s economy will improve considerably in the coming years, after experiencing a minor setback in growth during 2017.  This improvement will provide minor support for the stock market, which trades at a slight discount to its historical average and to MSCI Frontier Markets.  Kenya will outperform its regional peers and MSCI Frontier markets in terms of growth, though key risks do stand out, including its high public debt, fiscal deficit, and current account deficit.  Despite the number of political/economic issues, which resulted in foreigns turning to net sellers, Kenya's stock market still performed very well during 2017 (+36% for the MSCI Index), in line with the FM bull run ( +32% for MSCI Frontier Markets).</p>

Kenya’s economy will improve considerably in the coming years, after experiencing a minor setback in growth during 2017.  This improvement will provide minor support for the stock market, which trades at a slight discount to its historical average and to MSCI Frontier Markets.  Kenya will outperform its regional peers and MSCI Frontier markets in terms of growth, though key risks do stand out, including its high public debt, fiscal deficit, and current account deficit.  Despite the number of political/economic issues, which resulted in foreigns turning to net sellers, Kenya's stock market still performed very well during 2017 (+36% for the MSCI Index), in line with the FM bull run ( +32% for MSCI Frontier Markets).

Kenya's Economy to See Recovery in the Coming Years