Telco service provider Safaricom, Friday has hinted at the possibility of issuing a green bond in its efforts to promote a consistent flow of capital.
As the sustainability conversation takes over the centre stage for business operations inn the country, corporations are being advised to broaden their souce of capital to fund impact related projects.
This is no different from Safaricom, which has proposed a framework that will aim for the capital marlet for funding through allocation of the green Bond.
This comes after afte a 15 billion shilling link sustainability link facility that was received from four financial insitutuitons that are linked to the funding of greening of the Telco’s network.
Karen Basier, the Safaricom director of sustainable business and social impact stated that they have developed the framew2orrk and th security market exchange which grants the business another green bond issuance.
However, according to Economist Chachi Lutu, the corporate bond market in Kenya has been inactive and could pose an uphill task for the Telco in attracting investors upon issuance,
Safaricom hopes to navigate through by targeting impact driven investors who will stem down to the use of proceeds through impactful projects that will enhance their ESG and sustainability agenda.
