The official listing of Safaricom PLC’s Green Bond at the Nairobi Securities Exchange marks a defining moment for Kenya’s capital markets, one driven decisively by retail investors.
- •Individual investors dominated participation in the offer, accounting for 96 percent of all applications received.
- •In total, 2,453 retail investors took part, underscoring a clear shift in how everyday Kenyans are engaging with sophisticated capital market instruments traditionally reserved for institutional players.
- •Nearly 59% of applications were submitted via USSD, with payments completed through M-PESA.
The overwhelming retail demand pushed Safaricom PLC to take up KSh 20 billion in the first tranche of its Domestic Medium-Term Note programme, up from the initial KSh 15 billion target after exercising a KSh 5 billion greenshoe option. Overall, the bond attracted KSh 41.4 billion in applications—an oversubscription of 175%—making it the largest Green Bond issuance in Kenya’s history.
Speaking at the NSE bell-ringing ceremony, Safaricom PLC Group Chief Finance Officer Dilip Pal highlighted the importance of local participation, noting that the transaction showcased what is possible when domestic investors are intentionally included in capital-raising initiatives.
The bond offers a fixed interest rate of 10.40% per annum and is tax-exempt. Proceeds will be allocated to eligible green projects under Safaricom’s Sustainable Finance Framework, including 5G rollout, solarisation of network sites, and the upgrade of legacy infrastructure to cleaner technologies.
