NAIROBI, Feb. 25 (Xinhua) -- Kenya on Monday launched 250 million Kenyan shillings (about 2.5 million U.S. dollars) mobile government bond.
Paul Muthaura, chief executive of Capital Markets Authority, told journalists in Nairobi that M-Akiba, the retail infrastructure bond issued by the Government of Kenya through the mobile phone, will offer investors a 10 percent tax-free annual return and will mature in 18 months.
"The mobile government bond is part of Kenya's efforts to promote financial inclusion through encouraging savings," Muthaura said.
He noted that investors will be able to purchase the bond for as little as 30 dollars, noting that the government hopes to raise a total of 50 million dollars through the mobile bond.
In 2017, the National Treasury raised a total of 2.97 million dollars from the first tranche of the mobile bond which is currently trading at the Nairobi Securities Exchange (NSE).
Muthaura noted that sale of the bond will end on March 3 and will be sold exclusively through mobile phones. He added that the bond is expected to commence trading at the NSE on March 12.
Geoffrey Odundo, chief executive officer of the NSE, said that the reopening of the bond provides an opportunity for the investors who did not participate in the previous issues in 2017.
Odundo said that due to prevailing positive economic environment, the bond is expected to be fully subscribed.
