The Capital Markets Authority (CMA) has approved the registration of the Ziidi Shariah Money Market Fund (MMF), a Shariah-compliant investment product, a month after Safaricom launched its Ziidi MMF.
This approval, confirmed by the CMA on February 20th, allows Gulfcap Investment Bank to register the Ziidi Shariah MMF as a standalone fund targeting M-Pesa customers who prefer Islamic finance.
“This initiative aligns with the CMA’s efforts to promote inclusive and diverse investment opportunities within Kenya’s capital markets,” the CMA stated.
CMA Chief Executive Officer Wyckliffe Shamiah commented, “This marks a significant milestone in the ongoing efforts to promote Islamic finance within Kenya’s capital markets. We believe Islamic finance holds immense potential which can be unlocked through creating an enabling environment for such opportunities to thrive.”
This registration brings the number of Shariah-compliant unit trust funds in Kenya to seven.
The CMA also announced the licensing of Tradiam Investments Services Limited as a fund manager, increasing the total number of licensed fund managers to 43. Shamiah noted the substantial growth in assets under management in collective investment schemes, now exceeding Ksh316 billion, which has fueled interest in fund management licenses. Tradiam will target both institutional (pension schemes, insurance companies, corporates) and retail (individual) clients.
Safaricom launched its Ziidi MMF in January 2025, following CMA approval in November 2024. The product, offered in partnership with Standard Investment Bank and ALA Capital Limited, allows customers to manage and grow wealth through their M-Pesa wallets, offering free deposits and withdrawals.
Since its December 2024 launch, the Ziidi MMF has attracted over 450,000 opt-ins, with assets under management exceeding Ksh2.85 billion. Customers can opt-in via the M-Pesa app or by dialling 3345#. While there’s no maximum investment limit, daily and per-transaction M-Pesa limits apply (Ksh500,000 and Ksh250,000, respectively).
Money market funds invest in high-quality, short-term debt instruments, offering high liquidity and low risk.