Safaricom marked a milestone for Kenya’s capital markets when its Green bond was officially listed on the Nairobi Securities Exchange on December 16, 2025, with a live ceremonial trade opening secondary market activity for the KSh 20 billion tranche.
The listing placed the telecoms giant at the centre of a changing corporate debt market, one defined by new digital channels and a broader investor base. Through a KSh 40 billion Domestic Medium-Term Note programme, Safaricom issued its inaugural five-year Green bond offering a fixed coupon of 10.40%. Market analysts expect the bond to trade actively in its early days, with close attention on how its pricing compares to government securities.
Retail investors dominated the offer. Applications totalled KSh 41.6 billion, translating into an oversubscription rate of 175.7%. Around 2,453 individual investors took part, accounting for most of the bids. For the first time in a Kenyan corporate bond issue, many investors applied via USSD and funded their purchases through M-PESA, underscoring how mobile technology is reshaping access to capital markets. NSE officials noted that executing a live trade during the listing ceremony was significant, as it demonstrated the market’s readiness for immediate price discovery.
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The bond was distributed through a largely digital process, with Safaricom leaning on mobile platforms to gather applications. This approach reduced barriers for smaller investors and drew participation from across the country, not just Nairobi. Brokers said interest from outside the capital was notable, while the high-profile listing helped demystify bond investing for first-time participants.
Safaricom Group Chief Financial Officer Dilip Pal said proceeds from the Green bond will be channelled into renewable energy initiatives, including the solarisation of base stations and other efficiency projects aligned with the company’s sustainable finance framework.
Traditionally, Kenya’s corporate bond market has been dominated by institutional players such as pension funds and insurers. Safaricom’s issue disrupted that pattern, with strong retail uptake challenging the long-standing institutional bias.
The bond was structured with a minimum investment of KSh 50,000 and additional investments in increments of KSh 10,000, making it accessible while still fitting within the framework of exchange-listed debt.
