{"id":36109,"date":"2017-07-22T05:06:58","date_gmt":"2017-07-22T05:06:58","guid":{"rendered":"https:\/\/www.biphoo.com\/bipnews\/?p=36109"},"modified":"2017-07-22T05:06:58","modified_gmt":"2017-07-22T05:06:58","slug":"kenyas-latest-mobile-phone-bond-falls-short-of-target","status":"publish","type":"post","link":"https:\/\/www.biphoo.com\/bipnews\/lifestyle\/kenyas-latest-mobile-phone-bond-falls-short-of-target.html","title":{"rendered":"Kenya&#8217;s latest mobile phone bond falls short of target"},"content":{"rendered":"<h2 style=\"text-align: justify\"><span style=\"font-size: 18pt;font-family: Arial, Helvetica, sans-serif\"><strong><span style=\"color: #000000\">Kenya&#8217;s latest mobile phone bond falls short of target<\/span><\/strong><\/span><\/h2>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">An innovative Kenyan bond which is bought via mobile phone had raised far less than the 1 billion shillings ($9.6 million) targeted on Friday, failing to match a previous success.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">In March, the East African nation became the first country to issue a mobile phone-based bond, which can be bought by phone users without the need for them to have a bank account.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">Investors can use mobile phone networks&#8217; financial platforms like M-Pesa to send money and receive interest payments on the M-Akiba bonds, which can be traded in the secondary market.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">Kenya&#8217;s first such three-year infrastructure bond raised its target of 150 million shillings within days and it launched the sale of the second tranche last month.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">However, the second tranche had raised only 128 million shillings by midday on Friday, the finance ministry told Reuters, without offering more details.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">Kenya has a vibrant conventional bond market, which the government relies on to raise the bulk if its financial borrowing requirements, but it is pushing through mobile phone bonds to tap into a wider pool of retail investors.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">Only a few ordinary Kenyans bought traditional government bonds, scared off by the minimum investment of 50,000 shillings and the need for a commercial bank account.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">Investors can buy the M-Akiba bond for as little as 3,000 shillings, earning a tax-free interest of 10 percent.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">There was no immediate explanation for the lower demand on the latest mobile phone bond, but Kenya is in the midst of election campaigns ahead of an Aug. 8 poll that has seen some businesses and investors take a wait-and-see attitude.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-family: Arial, Helvetica, sans-serif\">Elections are often tense in Kenya after 1,200 people were killed in ethnic violence that broke out due to a disputed presidential election in December 2007.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #000000;font-size: 8pt;font-family: Arial, Helvetica, sans-serif\">source:-http:\/\/www.reuters.com\/article\/us-kenya-bonds-idUSKBN1A61WT<\/span><\/p>\n<div class=\"fb-background-color\">\n\t\t\t  <div \n\t\t\t  \tclass = \"fb-comments\" \n\t\t\t  \tdata-href = \"https:\/\/www.biphoo.com\/bipnews\/lifestyle\/kenyas-latest-mobile-phone-bond-falls-short-of-target.html\"\n\t\t\t  \tdata-numposts = \"10\"\n\t\t\t  \tdata-lazy = \"true\"\n\t\t\t\tdata-colorscheme = \"light\"\n\t\t\t\tdata-order-by = \"social\"\n\t\t\t\tdata-mobile=true>\n\t\t\t  <\/div><\/div>\n\t\t  <style>\n\t\t    .fb-background-color {\n\t\t\t\tbackground: #ffffff !important;\n\t\t\t}\n\t\t\t.fb_iframe_widget_fluid_desktop iframe {\n\t\t\t    width: 630px !important;\n\t\t\t}\n\t\t  <\/style>\n\t\t  ","protected":false},"excerpt":{"rendered":"<p>Kenya&#8217;s latest mobile phone bond falls short of target An innovative Kenyan bond which is bought via mobile phone had raised far less than the 1 billion shillings ($9.6 million) targeted on Friday, failing to match a previous success. In March, the East African nation became the first country to [&hellip;]<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-36109","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/posts\/36109","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/comments?post=36109"}],"version-history":[{"count":0,"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/posts\/36109\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/media?parent=36109"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/categories?post=36109"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.biphoo.com\/bipnews\/wp-json\/wp\/v2\/tags?post=36109"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}