Companies and businesses have been urged to adopt ratings in an effort to boost investor confidence as they seek long-term financing to drive their recovery efforts.
When the coronavirus pandemic hit Kenya’s shore in mid-March last year, many businesses were negatively affected, some of which ended up shutting down.
And now with a gradual reopening of the economy, many businesses are still facing challenges including access to financing with investors opting to withhold their resources for fear of losses.
To this end, Metropol Corporation General Managing Director Sam Omukoko said the corporation is in discussion with the Capital Markets Authority (CMA) to encourage issuers to have their securities rated to provide more transparency in the market.
Omukoko spoke during an event which saw the Nairobi Securities Exchange (NSE) listed company Longhorn Publishers Plc make their rating public.
The publisher has been rated by Metropol Corporation.
Longhorn whose commercial paper was valued at Ksh.1 billion attained a rating and challenged other companies to embrace publishing ratings to woo investors.
