2022 was expected to be the year that economies around the world rebounded especially after Covid 19 ravaged the globe in 2020. However, this was short lived as the world saw in February the onset of the Russian-Ukrainian war. The announcement of the war triggered a panic sell-off of stocks by foreign investors to seek shelter in government securities or fixed income in developed nations in what is termed as flight-to-safety. The uncertainty surrounding the Kenyan election, soaring drought and the jump in interest rates in developed markets all contributed to the 61.75% foreign sales seen in the market during the year.

In this Note, we take a dive into events that shaped the macro activities and the Equities market. Finally we give an outlook, from our own lens, of how we see the markets playing out in 2023.