The world’s first mobile-traded government bond M-Akiba has closed its inaugural Sh150 million issue with investors paid out principal amounts together with final interest.
Investors received dues via mobile wallets as well as directly to bank accounts on Monday.
The redemption, announced by the Central Depository and Settlement Corporation (CDSC) benefited 5,509 M-Akiba buyers who bought tax-free bonds of between Sh3,000 and Sh1.13 million at an annual 10 percent interest since March 2017.
The second M-Akiba that raised Sh187 million against a Sh250 million target will be redeemed in full on September 7 together with the interest.
Sold at the height of the 2017 General Election campaigns, it attracted 13,494 investors who are in line to receive Sh44.6 million interest payments on top of Sh187 million principal.
“CDSC continues to fulfil its mandate by facilitating the settlement of M-Akiba transactions traded on the Nairobi Securities Exchange and managing coupon payments and redemption of the bond at maturity,” said CDSC chief executive Nkoregamba Mwebesa in an earlier interview.
He said the recipients were at liberty to roll over principal amounts and interest received by buying the M-Akiba bonds in the secondary market via USSD *889#.