A Survey of Private Equity Investments in Kenya

Private equity investments in the recent past have been very strong and using leverage to make deals has accelerated sharply as well in both developed and emerging economies. Therefore, private equity is a suitable alternative in financing organizations at their various stages of growth. Hence, this study uses an exploratory approach to establish the extent to which private equity investments are adopted by firms, the forms of private equity mostly applicable and the exit strategies of private equity funds. Primary data was collected using a questionnaire as the main primary data collection tool. The findings show that banks and development financial institutions are the top investors in private equity funds and large corporate companies are the top clients in adoption of private equity followed by SMEs while listed companies are the lowest adopters of private equity. Key words: Private equity, venture capital, private equity investments, exit strategies

Infrastructure Development and Real Estate Values in Meru County, Kenya

The real estate industry has increasingly become a key pillar industry in Kenya. However, in recent years the real estate prices have risen rapidly with home prices increasing sharply in comparison to prices of goods and services in other industries. At the same time, housing demand has posed an economic and social challenge arousing continental and universal concerns. The main objective of this paper was to analyse the effects of infrastructure development on real estate values in Meru County, Kenya. The findings indicate that the factors that lead to high prices in the real estate sector include improved transport networks, improved social amenities, industries, expanded educational institutions and commercial centers. Key words: Real Estate Values, Infrastructure Development, Propert

Factors Affecting Uptake of Agency Banking Services Among Customers in Rural Kenya: A Case of Narok County

The objective of this study was to analyze factors affecting uptake of agency banking services among customers in rural Kenya. Specifically, the study sought; to examine the effect of fraud on uptake of agency banking services among customers in Kenya; to determine the extent to which skills of agents affect uptake of agency banking services among customers in Kenya; To establish the effect of location on uptake of agency banking services among customers in Kenya and to find out how confidentiality affect agency banking services uptake among rural customers in Kenya. A multivariate regression model was applied to determine the relative importance of each of the four variables. The findings indicated that bank agent skills, location and confidentiality were found to be statistically significant in explaining uptake of agency banking services. Banks should create awareness to the public that the bank agent’s premises adheres to standard security measures and should also hire security services from security firms to transport cash to and from the agents where necessary. Banks should also train the agency banking agents on how to detect fake money and fraud. The study revealed that agents’ skills affected uptake of agency banking services by rural community in Narok County. The study recommends banks to offer training to agents before they start providing specific services on behalf of the banks to improve their customer handling skills and increase the uptake of the agency banking services

Analysis of Factors Affecting Security Trading In Investment Banks in Kenya

Security trading is the main function of an investment bank. It is therefore the process through which financial asset of any kind is traded. This paper is aimed at analyzing the various factors affecting security trading in investments banks in Kenya. The specific objectives which affect security trading in the investment banks include; legal and the regulatory framework, insider trading, taxation of investment income and the public knowhow on security trading. In summary, the researcher found out that compliance to CMA and having proper corporate governance structures are ways through which an investment bank is said to function in accordance to the laid down legal and regulatory framework. It was also found out that insider trading and taxation greatly affects the volume of securities to be traded in an investment bank. Poor literacy level, information inadequacy and lack of accessing the so needed information are some of the factors that affect public knowledge on security trading in investment banks. In conclusion, Legal and Regulatory framework, Insider trading, Taxation of investment income and public knowhow affects security trading in an investment Bank. Keywords: Security Trading, Insider Trading, Financial Asset, Investment bank

Factors Influencing the Adoption of Electronic Banking in Kenya: A Case of Commercial Banks in Nairobi County

The revolution of information technology has transformed the financial services industry. Despite the undeniable importance of financial innovation in improving service delivery, there is inadequate understanding about the drivers of adoption of e-banking systems. The study established the influence of organizational capability, perceived technological risk, perceived usefulness, and perceived ease of use on the adoption of e-banking in Kenya. The study is grounded on the Technology Acceptance Model (TAM) and Technology-Organization-Environment (TOE) framework. The findings show that the presence of electronic systems, databases, and applications; effective management and oversight, and financial capacity are prerequisite to adoption and use of e-banking services. The main risks perceived by respondents were the effect of incorrect entries, time taken to learn how to use the system, and system outages that may affect access to accounts. E-banking was also perceived to be faster, easier, and better than traditional systems, with many users’ comments on perceived ease of use confirming that the graphic user interfaces are clear, easy to use and do not demand much mental effort. Multiple regression coefficients indicated a statistically significant relationship between organizational capability and perceived usefulness and the adoption and use of e-banking services. There was no statistically significant relationship with perceived risk and perceived ease of use