State taps KDF housing allowances to pay back Sh3bn Sukuk bond

A Sukuk is the Islamic equivalent of a conventional bond.

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The State will withdraw the housing allowance of some Kenya Defence Forces (KDF) officers and use the funds to repay investors who bought the Sh3 billion Sukuk bond used to finance the construction of military housing.

New disclosures reveal that the housing allowances of military personnel occupying the 95 percent-complete housing units will be ringfenced for bond repayments over the next 13 years.

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