Treasury targets Ksh1.0 Billion through M-Akiba phase two

Treasury targets Ksh1.0 Billion through M-Akiba

By David Indeje / Published June 30, 2017 | 10:04 am

Kenya’s National Treasury targets to raise Ksh 1.0 billion worth of bonds in its second phase of the mobile traded M-Akiba launched on Friday.

Save Money. Make Money. Buy and Build Kenya on #PesaLink #mAkibaLaunch pic.twitter.com/1nZUyJfvL5
— KenyaBankers (@KenyaBankers) June 30, 2017

The first phase of the bond was closed after selling Kshs 150.0 mn, having met its target on 5th April, 5-days ahead of the intended closure date on 10th April.

102,632 potential investors registered on the platform of which 5,692 investors subscribed for the issue, with an average investment of Kshs 26,359 per investor.

“The issue has performed better than we anticipated and it’s yet another milestone for financial technology and mobile money in Kenya,” according to market Analysts.

The bond offer will run from 30th June to the 21st of July at a non-taxable interest rate of 10 percent for a tenure of three years and will be traded on the stock exchange on July 25.

The minimum amount one can buy in a single transaction is KSh 3000, with no limitations on how much one buy in the secondary market.

“Today we again celebrate our leadership in mobile money innovation,” Treasury Cabinet Secretary Henry Rotich said the launch at the Nairobi Securities Exchange.

The National Treasury states if the demand will be higher, Ksh 3.85 billion will be sold at a later date.

The bond which was initially available on telecom companies’ money transfer services has been opened to the Pesalink.

#PesaLink will also be used as @M_AKIBA2017 platform in addition to M-Pesa and Airtel Money @IPSL_Kenya #mAkibaLaunch #makiba pic.twitter.com/NPaHBm0vS3
— Nuru Mugambi (@NuruMugambi) June 30, 2017

About David Indeje

David Indeje is a writer and editor, with interests on how technology is changing journalism, government, Health, and Gender Development stories are his passion. Follow on Twitter @David_IndejeDavid can be reached on: (020) 528 0222 / Email: info@sokodirectory.com

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