The National Treasury is looking to issue a newly revised M-Akiba bond in the last quarter of the year after having gone back to the drawing board, owing to low registration and purchase last year according to sources at the National Treasury.
According to documents seen by the Standard newspaper, the National treasury has set aside Ksh 250 million kitty to guarantee the successful issuance of the bond.
The low uptake of the bond was attributed by the confusing user interface, poor customer service and customer education.
According to a survey by Financial Sector Deepening Africa 303,534 registered during the pilot phase while only 11,679 took up the offer raising 397.8 million from the two issues.
In the new re-developed model, Kenyans might use a mobile application unlike the USSD code used last year as well as allowing those with passports to buy the bond. The bond might also be segmented into a series of issue as compared to a one block offer.
The new bond seeks to target middle class income earners as opposed to the previous audience who included low income earners. The launch date also targets tea bonus farmers’ season and investment groups.
