Sharp Daily
No Result
View All Result
Saturday, July 19, 2025
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
Sharp Daily
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
No Result
View All Result
Sharp Daily
No Result
View All Result
Home News

Sukuk bond approval demonstrates Kenya’s commitment to innovative, ethical finance

Editor SharpDaily by Editor SharpDaily
September 28, 2023
in News
Reading Time: 2 mins read

The recent approval of Kenya’s first-ever Sukuk bond has been hailed as a historic milestone that demonstrates the country’s commitment to embracing innovative and ethical financing solutions.

Experts describe the sharia-compliant bond as groundbreaking for Kenya’s financial market and say it will pave the way for further development of Islamic finance in the country. The Sukuk bond, which will be issued by Linzi Finco Trust to raise KES 3 billion provides an alternative funding source that adheres to ethical investment principles.

Read more: AfDB debars Kenyan firm Joycot for fraud in Nairobi Sewer Project

By tapping Islamic ethical financing principles, the Sukuk bond offers the Kenyan government and companies an additional funding tool to invest in infrastructure and social services. The first issuance will fund over 3,000 affordable housing units to address Kenya’s housing shortage.

RELATEDPOSTS

Kenya’s Investment Schemes hit record KES 254 billion with 1.2 million investors

September 15, 2024

CMA approves new unit trust funds

August 1, 2024

Kenya faces a major housing shortage, with demand for 250,000 new units annually compared to 50,000 new houses built. This leaves an 80% annual deficit. The government aims to provide 200,000 new homes yearly through partnerships between national and county governments and private companies. Several projects with 7,800 units are underway after launches in the last three months.

The Sukuk bond presents an alternative funding source for affordable institutional housing. The bond will help reduce the housing shortfall.

Read more: Report: Counties’ pending bills hit KES 165 billion

The KES 3 billion target will finance homes costing an average KES 977,198 each. Following Islamic principles, the Sukuk bond provides an 11.13% internal return from profits on the underlying assets instead of interest. This appeals to ethical, socially responsible investors.

Successful implementation will demonstrate Kenya’s commitment to embrace innovative financing and sustainable economic growth. Collaboration between public and private sectors is key to easing the deficit and expanding affordable housing access.

Kenya’s pioneering Sukuk bond enables investment in ethical instruments while supporting institutional housing development. Its approval reflects Kenya’s dedication to fostering growth and tackling social challenges.

Email your news TIPS to editor@thesharpdaily.com

Previous Post

AfDB debars Kenyan firm Joycot for fraud in Nairobi Sewer Project

Next Post

Private investments poised to grow amid rising CBK lending rate increase

Editor SharpDaily

Editor SharpDaily

The latest in business, real estate, education, investments, tech and entrepreneurship, brought to you daily. Reach us through thesharpdaily@gmail.com

Related Posts

Business

Del Monte foods files for bankruptcy in USA

July 3, 2025
News

Private vs Public Pension Funds in Kenya

June 30, 2025
Investments

Investor shift to long term bonds drives oversubscription in CBK’s reopened auction

June 19, 2025
News

The real price of Israel – Iran Conflict for Kenya.

June 19, 2025
Economy

Resilient but strained: Kenyan firms speak out in May 2025 CEO survey.

June 19, 2025
News

Co-op Bank posts KES 6.9 billion profit in Q1’2025

May 16, 2025

LATEST STORIES

Invest in stability: introducing the Cytonn USD money market fund

July 18, 2025

The Importance of Asset Diversification on Kenyan Pension Funds

July 18, 2025

Park your money where it grows: Why more Kenyans are turning to Cytonn Money Market Fund

July 16, 2025

Strategies to boost alcohol and tobacco tax revenues

July 16, 2025

Kenya’s reactive monetary policy

July 16, 2025

Why Employers Should Prioritize Pensions Over One-Time Gratuity Payments

July 10, 2025
Business and Finance Concept - Coin, Currency, Financial Item, Graph,

Opinion: Why lower taxes may be Kenya’s only escape route

July 10, 2025

Nvidia becomes the first company globally to hit USD 4.0 trillion market value

July 10, 2025
  • About Us
  • Meet The Team
  • Careers
  • Privacy Policy
  • Terms and Conditions
Email us: editor@thesharpdaily.com

Sharp Daily © 2024

No Result
View All Result
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team

Sharp Daily © 2024