Safaricom has expanded its investment offering with the launch of the Ziidi Shari’ah Money Market Fund, giving Kenyans an opportunity to invest in a Shari’ah-compliant fund through M-PESA.
The fund, launched in partnership with GulfCap Investment Bank (GCIB), aims to make ethical and Shari’ah-compliant investing more accessible through digital channels.
Customers can begin investing with as little as Sh100, while subsequent contributions start from Sh10.
How customers can invest in Ziidi Shari’ah
Customers can access the fund through the MyOneApp or by dialling *334# on their mobile phones. Once registered, investors can deposit funds into their Ziidi Shari’ah account and begin building their savings.
Investors can also monitor their daily profit through the platform. Both deposits into the fund and withdrawals are free. According to the telco, withdrawals can be made directly to an M-PESA wallet.
The fund also provides an option for investors to lock their money, helping reduce the temptation to make unplanned withdrawals.
There is no stated maximum investment amount. However, investors remain subject to M-PESA transaction limits, including a daily limit of Sh500,000 and a maximum of Sh250,000 per transaction.
Fund targets ethical and Shari’ah-compliant investments
Ziidi Shari’ah is regulated by the Capital Markets Authority (CMA) and operates under the supervision of GCIB’s Shari’ah Supervisory Board.
Unlike Safaricom’s conventional Ziidi Money Market Fund, the new product operates as a separate fund and follows investment requirements based on Shari’ah principles.
“Part of driving financial inclusion is about making financial services relevant to the different needs and circumstances of our customers. With Ziidi Shari’ah, we are making investing simple, affordable and accessible, while providing an option that aligns with the values that guide our customers’ lives,” said Peter Ndegwa, CEO, Safaricom PLC.
According to GCIB Chief Executive Officer Saud Shahbal, the fund invests in short-term, highly liquid instruments held with Shari’ah-compliant banks.
“The unveiling of the Ziidi Shari’ah Money Market Fund, embedded on the robust M-Pesa platform, gives Muslims, and any individual who prefer ethical investing, an opportunity to grow their savings in line with their values. The fund invests exclusively in short-term, highly liquid instruments in shari’ah compliant banks. This preserves capital and daily liquidity, while ensuring returns are free of interest (riba) and are earned only from ethical, permissible activities,” he said.
The product targets Muslim customers and anyone seeking an investment option based on ethical and Shari’ah-compliant principles.
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