Lending to the Government is the closest you get to a guaranteed income-bearing investment.
On Friday, the Treasury launched a three-year debt instrument that’s exclusively traded through the mobile phone – M-Akiba.
This follows the Special Launch Offer in March when the Government successfully tested the system and raised Sh150 million days before the planned closing date.
This time round, the Government is looking to raise Sh1 billion through the issuance of the bond, but it can absorb another Sh3.85 billion in what is referred to as a green shoe option.
Investors have until July 21 to participate in the bond.
It will be exclusively traded through mobile money platforms M-Pesa and Airtel Money, as well as the interbank money system, Pesalink.
Banks hold edge in M-Akiba bond
M-Akiba is aimed at enabling ordinary Kenyans to lend to the Government, an area of investment that has largely been the preserve of institutions and wealthy Kenyans. The money will be used to finance infrastructure projects.