Safaricom Launches First Tranche of Ksh.5 Billion Fixed-Rate Green Notes Under MTN Programme

Safaricom PLC has officially launched the first tranche of its Ksh.15 billion Fixed-Rate Green Notes under its Ksh.40 billion Medium-Term Note (MTN) Programme.

The issuance, which includes a Ksh.5 billion greenshoe option, has received regulatory approval from the Capital Markets Authority (CMA).

It comes at a time when CMA, in its report, said Kenya’s corporate bond market is experiencing the fastest growth, with turnover at the Nairobi Securities Exchange (NSE) hitting Ksh.2 trillion by November 2025.

The gesture proves what Kenya’s largest telco has committed to over time for sustainable financing and investing.

Safariccom is targeting to raise Ksh.15 billion in this initial tranche, with proceeds earmarked exclusively for financing and refinancing eligible green projects under its Sustainable Finance Framework.

The projects fall within Safaricom’s environmental impact agenda, which includes investments in renewable energy, energy efficiency, circular economy initiatives, and climate-resilient infrastructure.

Also Read: How Safaricom Spent Ksh.153 Billion in Local Market

Strong Terms for Investors

The notes are senior, unsecured instruments carrying a fixed annual coupon rate of 10.40% over a tenor of five years. The offer is available to both retail and institutional investors, with a minimum subscription of Ksh.50,000, in multiples of Ksh.10,000 thereafter.

The subscription window opened on November 25, 2025 and will run until December 5, 2025. Once allotted, the notes will be listed and traded on the Nairobi Securities Exchange (NSE) starting December 16, 2025, giving investors liquidity and secondary market access.

According to Safaricom, the proceeds will support its green projects, which focus on reducing carbon emissions, improving energy efficiency across operations, expanding renewable energy adoption, and promoting sustainable resource management, positioning the telco among corporate issuers championing environmentally conscious funding in Kenya’s capital markets.

Offer Management and

SBG Securities Limited and Stanbic Bank Kenya Limited have been listed as a consortium of institutions which will handle the transaction, with additional support Standard Chartered Bank Kenya Limited and Dyer & Blair Investment Bank.

Organisation for Economic Co-operation and Development (OECD) data shows that outstanding corporate bonds reached $34 trillion by the end of 2023. Companies issued about $8 trillion in new bonds in 2024, tapping favourable conditions to fund expansion and refinance debt.

Shamiah says the rising bond uptake shows that Kenyan investors are increasingly open to long-term debt investments, while companies are taking advantage of more flexible and competitive financing options beyond traditional bank loans.