Safaricom, Kenya's leading telecommunications provider, has received the green light from the Kenyan Capital Markets Authority to raise around KSh 40 billion through a corporate bond. According to the assessment of specialists presented in the publication, this strategic move aims to bolster the company's infrastructure in both Kenya and Ethiopia.
Regulatory Approval for Safaricom's Bond Program
The regulatory approval, granted on November 7, 2025, allows Safaricom to issue various classes of notes in multiple tranches under Section 30A of the Capital Markets Act. This bond program is designed to facilitate long-term capital raising through the debt market, with plans to include
- green
- social
- sustainable notes
Launch of the First Tranche
The first tranche of the bond is anticipated to launch following the public release of an internal memorandum that will outline the terms, repayment period, and pricing of the offer. Financial experts indicate that the bond's success will be closely tied to Kenya's interest rates and overall economic conditions, with the current benchmark rate standing at 9.25%.
Impact on Safaricom's Market Position
This substantial fundraising initiative is expected to solidify Safaricom's status as Kenya's preferred mobile network operator while enhancing service delivery across both Kenya and Ethiopia.
In a notable development, WhiteBIT has partnered with Durrah AlFodah Holding to advance blockchain technology in Saudi Arabia, complementing Safaricom's recent bond initiative aimed at enhancing infrastructure in East Africa. For more details, see further information.
