Kenya to start offering mobile-phone-based bond to investors


Reuters

NAIROBI, March 21 (Reuters) - Kenya will start selling a
mobile-phone based government bond this week, the Treasury said
on Tuesday, the culmination of a lengthy plan to tap a new pool
of investors into government securities.
    The Treasury said the bond will go on sale on Thursday,
without offering more information. Kenya pioneered the use of
mobile money in 2007 with M-Pesa, a money transfer service, by
telecoms operator Safaricom <SCOM.NR>.
    Known as M-Akiba, the new bond will be offered on M-Pesa and
similar mobile phone financial services by other firms, a source
in the telecoms industry said. Investors will be able to buy the
bond through their phones, where a record of their holdings will
be stored. Coupon payments will also be made through the phone.
    M-Pesa allows users to transfer cash and make payments on
even the most basic mobile phone. In partnership with local
banks, Safaricom has since expanded the service to offer
savings, lending and insurance products.


 (Reporting by Duncan Miriri, editing by Larry King)
 ((duncan.miriri@thomsonreuters.com; Tel: +254 20 4991239;
Reuters Messaging:
duncan.miriri.thomsonreuters.com@reuters.net))

Keywords: KENYA BONDS/



This article appears in: Economy , Bonds , Fundamental Analysis , Stocks , World Markets , Stocks
Referenced Symbols: SCOM


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