Safaricom’s (SCOM) is expected to release it’s fully year results for the year ended March 2022 on 12th May. We expect positive performance from the Telco mainly from M-PESA revenues as a result of it’s dominance in the mobile money market. Mobile data and Fibre to the Home (FTTH) are likely to drive up Data revenue. Additionally, we expect an increase in capital expenditure and borrowings mainly attributable to the heavy investments in the Ethiopian venture.

We anticipate the release of Q1’22 bank results, later in the month, where we expect positive performance attributable to higher lending income , increased use of digital channels and reduced provisioning. However, we expect increase in pile of bad loans largely attributable to major borrowers from manufacturing, tourism and construction industries.

Russia—Ukraine war is expected to continue having adverse effects on emerging and frontier equity markets as investors seek safer investments away from these markets. Rising global energy, commodity prices, and disrupted supply chains will affect the local prices of fertilizer ahead of the planting season, which will negatively affect agricultural productivity and food inflation in the coming months.

MPC meeting - The next meeting of the Monetary Policy Committee (MPC) will be held on Monday, May 30, 2022. We expect the CBR to maintain at 7.00%. despite the elevated global risks and their potential impact on the local economy.

Listed Company AGMs will take place in the month of May where we expect to see the continued use of virtue meetings. Some of the listed companied that will hold AGMs include; Standard Chartered Bank (SCBK), Umeme (UMME), Stanbic Holdings (SBIC), I&M Holdings (IMH), British American Tobacco (BAT) and ABSA Bank Kenya (ABSA).