By OpeOluwa Okudero 
Safaricom is making another bold move. The company, already synonymous with innovation through its mobile money platform M-PESA, is gearing up to launch its second money market fund (MMF), Ziidi
In 2019, Safaricom introduced Mali, an MMF that brought investment opportunities closer to the everyday Kenyan. Now, with Mali’s asset base standing at an impressive KES 3 billion as of November 2024, Safaricom is raising the stakes with Ziidi. But how does this new offering compare to its predecessor, and what does it mean for Kenya’s financial landscape?
Mali’s Legacy and Ziidi’s Promise
Mali opened the doors to investing for many Kenyans. With a low entry point of just KES 100 and instant withdrawals directly to M-PESA wallets, it was a game-changer for savers looking to grow their money without the complexities of traditional banking. Today, Mali’s success story has set the stage for Ziidi to go even further. While full details of Ziidi are still under wraps, Safaricom has hinted at several enhancements. Partnering with big names like Standard Investment Bank, ALA Capital Limited, and Sanlam Investments East Africa Limited, Ziidi promises to bring a more robust and diversified investment experience.
Like Mali, Ziidi will target low-risk investments, such as government bonds and Treasury bills, making it an ideal choice for cautious savers. And with Kenya’s growing smartphone adoption—over 35 million devices and counting—Ziidi has a ready audience eager to explore digital investment options.
Competing in a Thriving Market
Ziidi is entering a bustling market where banks, insurers, and fintech companies are all ready for a slice of the pie. These competitors offer savers alternatives to low-interest bank accounts, channelling funds into safer and potentially more rewarding investment instruments. But Safaricom has a distinct advantage: its deep integration with M-PESA. By leveraging Kenya’s most popular mobile money platform, Ziidi can reach underbanked and unbanked populations like no other competitor. For these communities, Ziidi represents a step toward financial empowerment.
What Sets Ziidi Apart?
Mali may have been the first step, but Ziidi is designed to refine and expand that vision. While Mali relied on a single partnership with Genghis Capital, Ziidi brings a diversified team of financial experts to the table, potentially offering more tailored and competitive options for investors. Moreover, Ziidi arrives at a time when Safaricom is actively looking to diversify its revenue streams. With voice, SMS, and data revenues facing increasing pressure, financial services like M-PESA and now Ziidi are becoming the company’s key growth drivers.
A Future Full of Potential
As Safaricom prepares to unveil Ziidi, there’s no doubt it will spark significant interest. For retail investors, the promise of accessible, low-risk investment opportunities backed by a trusted brand is a compelling proposition. Yet, the true test will lie in the details: How competitive will Ziidi’s returns be? Will it match or surpass Mali’s user-friendly approach? And how will it stand up to the growing wave of fintech challengers? For now, one thing is clear: Safaricom is doubling down on its mission to bring financial inclusion to all Kenyans. Ziidi is a statement of intent.
Susan Olalere
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