- Telco, which runs fintech M-Pesa, is expected to take on KES20 billion ($155.2 million) of the KES41.4 billion ($321.3 million) offered by investors in the first tranche.
- PRoceed will finance investments that support an energy-efficient digital future, including the deployment of 5G, the solarization of network locations and the transition from older technologies to cleaner, more efficient solutions.
- Nairobi Securities Exchange states that Safaricom Green Bond is in line with the new NSE strategy and emphasizes the depth and maturity of the Kenyan capital markets.
Safaricom PLC has listed its Green Bond on the Nairobi Securities Exchange (NSE), with a total of 2,453 individual investors accounting for 96 percent of applications.
Safaricom, which will take on US$155.2 million (KES20 billion) of the US$321.3 million (KES41.4 billion) offered by investors in the first tranche, said green bond applications through USSD and payments through M-PESA account for 59 percent of applications as the bond introduced new market standards by prioritizing innovation and accessibility.
The telco’s bond was oversubscribed by 175 percent in what is now Kenya’s largest green bond issuance. The listing, celebrated at the NSE bell-ringing ceremony on Tuesday, represents Safaricom’s return to the capital markets and the maiden issuance under its Medium-Term Note (MTN) programme, anchored in the company’s Sustainable Finance Framework.
Safaricom’s green bond is a vote of confidence in the telecom business model
“This transaction demonstrates what is possible when local capital markets are engaged with purpose and thoughtfulness. It is a clear vote of confidence in our fundamentals, strategy and long-term prospects, and a strong signal of confidence in the depth and resilience of Kenya’s capital markets,” said Dilip Pal, Chief Finance Officer of Safaricom PLC Group.
Furthermore, the Green Bond reflects a strategic shift in how Safaricom, which is rolling out services in new market Ethiopia, is financing its growth and positioning capital markets as a scalable and sustainable source of long-term financing in addition to traditional financing options. It also signals Safaricom’s intention to be an innovative, disciplined issuer that aligns with the long-term development of Kenya’s capital markets.
Dilip said the proceeds will fund investments that support an energy-efficient digital future, including the deployment of 5G, the solarization of network sites and the transition from older technologies to cleaner, more efficient solutions.
“This milestone Green Bond is in line with our new NSE strategy and highlights the depth and maturity of Kenya’s capital markets, anchored by the NSE,” said Frank Mwiti, the CEO. Nairobi Stock Exchange.
Safaricom green bond: implications for Kenyan capital markets
Alongside Safaricom, the list affirms the ability of Kenya’s capital markets to mobilize long-term capital for productive investments and strengthens the role of sustainable finance in supporting national development priorities.
The company reaffirmed its commitment to deepening participation in the capital markets through continued innovation. Initiatives such as Ziidi, Safaricom’s mobile money market fund, have already lowered barriers to savings and investment by bringing capital market products closer to ordinary Kenyans. Safaricom indicated that it will continue to explore new ways to expand access and drive financial inclusion.
The green bond is now listed and available for trading on the Nairobi Securities Exchange.
Safaricom is the largest telecommunications company in East Africa with more than 60 million connected customers in Kenya and Ethiopia. The latest disclosures show that the telecom provider’s total economic value was estimated at KES 1.1 trillion ($8.5 billion) for the twelve months to March 2025.
Listed on the Nairobi Securities Exchange and with annual revenues of nearly KES388 billion as of March 2025, Safaricom offers connectivity across a wide range of technologies including 2G, 3G, 4G and 5G.
The telco’s fintech unit, M-Pesa, enables 37.9 million customers to transact, save or borrow money via their mobile phones. M-PESA has taken financial inclusion in Kenya to 84.8 percent of the adult population by 2024, up from a low of 26.7 percent in 2006, and generated over KES 161 billion in revenue in FY25.
Also read: Safaricom’s economic, social and environmental impact in Kenya grows to $8.5 billion
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