Bonga Points have been around for more than a decade. The loyalty scheme, which was launched in the same year as M-PESA, can be redeemed for many things, including making purchases.
Now, Safaricom and the Nairobi Security Exchange (NSE) have partnered to allow Kenyans to invest in stocks using the points.
A statement from the carrier reveals that the deal will enable Safaricom customers to redeem points via licensed trading participants.
So far, ten participants have been activated, including NCBA Capital, Faida Investment Bank, AIB-AXYS, ABC Capital, Old Mutual Securities, Kingdom Securities, Suntra Investments, Francis Drummond & Company, Dyer & Blair Investments and Sterling Capital LTD.
To take part in the investment exercise, customers can redeem their points at a rate of KES 1 for every 5 points via the ‘Lipa Na Bonga’ menu on USSD *126# or MySafaricom App.
Customers can then enter Trading Participant’s paybill number followed by their CDSC (Central Depository and Settlement Corporation) account number.
Safaricom adds that the program has seen both retail and corporate customers accumulate 16 billion points, valued at over KES 4 billion. Customers accumulate a point for every KES 10 spent on voice, data, SMS and M-PESA charges.
As we focus on the next phase of our journey to go beyond, our aim is to continue transforming the lives of our customers by delivering a wide range of products and services that align with their needs. Through this partnership with NSE, we seek to give our customers more value and utility for their Bonga Points while creating more avenues for driving economic empowerment – Peter Ndegwa, Chief Executive Officer, Safaricom.
Through this initiative, we intend to unlock more investment opportunities for investors using convenient and innovative solutions. The partnership resonates with our resolve to connect capital with opportunities as anchored in the NSE 2020-2024 strategic plan. It further provides an avenue for retail investors to participate in the NSE and is coming on the backdrop of the stock market’s recovery following the COVID-19 pandemic – Geoffrey Odundo, Chief Executive Officer, Nairobi Securities Exchange.