INDIVIDUAL INVESTORS DRIVE SAFARICOM’S HISTORIC GREEN BOND LISTING ON THE NSE

Safaricom has officially listed its Green Bond on the Nairobi Securities Exchange (NSE), making history in Kenya’s financial market.

The launch followed a very popular offer period, with most of the interest coming from individual investors. This shows that everyday people are becoming more involved in investment opportunities.

A total of 2,453 individual investors took part, making up 96% of all applications. Importantly, 59% of these applications were made using simple USSD codes, with payments handled through M-PESA. This highlights how Safaricom is using its widely available mobile money platform to make investing easier for everyone.

Safaricom will raise 20 billion Kenyan shillings in this first phase of its bond program. This includes the original goal of 15 billion shillings, plus an extra 5 billion shillings due to strong demand. Investors applied for a total of 41.4 billion shillings, meaning the bond was oversubscribed by 175%. This makes it the largest Green Bond ever issued in Kenya.

At the listing ceremony at the NSE, Safaricom’s Group Chief Finance Officer, Dilip Pal, called the event a major step for local investment. “This transaction demonstrates what is possible when local capital markets are deliberately and thoughtfully engaged. It is a clear vote of confidence in our fundamentals, strategy, and long-term outlook, and a strong signal of confidence in the depth and resilience of Kenya’s capital markets,” said Pal.

The bond pays a fixed interest rate of 10.40% per year and is tax-free, which likely attracted many investors. The money raised will be used for “green projects” under Safaricom’s sustainability plan. According to Pal, these funds will support moves toward cleaner energy, including the rollout of 5G, using solar power at network sites, and updating older equipment.

More than just raising money, this move shows a change in how Safaricom funds its growth. By using the bond market, the company is finding new sources of money beyond bank loans and showing how the NSE can be used for long-term funding. The high number of people investing via their phones is similar to other Safaricom projects that make finance more inclusive, like the Ziidi savings product. These tools have made saving and investing simpler for ordinary Kenyans.

Safaricom says this is only the start, with more plans to widen access to financial services. The Green Bond is now trading on the Nairobi Securities Exchange.