Safaricom has kicked off the first KSh15 billion tranche of its KSh40 billion Domestic Medium-Term Note Programme. This marks Kenya’s largest-ever green bond issuance and introducing the first mobile-based subscription option for such an investment.
The tranche, with an option to raise an additional KSh5 billion in case of oversubscription, will run from 25th November to 5th December 2025, offering investors a tax-free interest rate of 10.4%.
Proceeds from the bond will finance and refinance Safaricom’s portfolio of eligible green projects, reinforcing the operator’s commitment to sustainable growth and reduced environmental impact.
Because the bond qualifies as a green instrument under Kenyan tax laws, interest earned is fully tax-exempt.
Safaricom CEO Peter Ndegwa said the bond shows company’s shift toward purpose-led, sustainability-focused growth.
“By adopting innovative financing solutions, we create long-term value for our stakeholders while delivering positive environmental and social impact,” Ndegwa said. “This approach will continue to guide our growth, ensuring every step forward is both purposeful and sustainable.”
Safaricom says the green bond supports its long-term strategy to evolve into Africa’s leading purpose-led technology company by 2030. The funds raised will diversify its funding sources and facilitate investment in areas such as connectivity expansion, fixed broadband, financial services and resilience of its core infrastructure.
Group CFO Dilip Pal described the issuance as a milestone in the company’s financing strategy, noting its accessibility through mobile subscriptions and its significance in deepening Kenya’s local debt capital markets.
How to Invest
Interested investors can participate with:
- Minimum investment Required: KSh50,000
- Top-ups: Multiples of KSh10,000
- Subscription:
- USSD: *483*810#
- Web: safaricombond.e-offer.app
- Licensed stockbrokers
The green bond has been arranged by SBG Securities, Stanbic Bank Kenya and Standard Chartered Bank Kenya, with these firms, plus Dyer and Blair Investment Bank, also serving as placing agents.
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