NAIROBI, Kenya—Safaricom has partnered with GulfCap Investment Bank (GCIB) to launch a Shari’ah-compliant money market fund, allowing customers to invest through digital channels with an initial contribution of KSh100.
The Ziidi Shari’ah Money Market Fund is available through the My OneApp and by dialling *334#, with subsequent contributions starting from as little as KSh10.
The fund is regulated by the Capital Markets Authority (CMA) and operates separately from Safaricom’s conventional Ziidi Money Market Fund. Its investments will be managed in accordance with Shari’ah principles under the oversight of GCIB’s Shari’ah Supervisory Board.
Safaricom CEO Peter Ndegwa said the product was designed to expand access to investment services while recognising the different financial needs and values of customers.
“Part of driving financial inclusion is about making financial services relevant to the different needs and circumstances of our customers,” Ndegwa said.
GCIB CEO Saud Shahbal said the fund provides Muslims and other customers interested in ethical investing with an alternative for saving and investing in line with their values.
Shahbal said the fund invests in short-term, highly liquid instruments held in Shari’ah-compliant banks, with returns generated from permissible activities rather than interest, or riba.
Customers can monitor their daily profits, deposit funds and withdraw their investments to their M-PESA wallets at no cost. The fund also provides an option to lock investments as an incentive for longer-term saving.
There is no maximum investment limit, although M-PESA transaction limits apply. Customers can transact up to KSh500,000 per day, subject to a maximum of KSh250,000 per transaction.
The launch adds a Shari’ah-compliant investment option to Safaricom’s growing range of digital savings and investment services, widening access to money market products through its M-PESA platform.
