Kenya is at the forefront of a financial revolution powered by technological innovation. Over the years, mobile-based solutions have transformed how Kenyans manage money, save, and invest. A standout example is Safaricom’s Ziidi Money Market Fund (MMF), which has emerged as a game-changer in mobile-driven investments.
Launched less than 6 months ago, the Ziidi MMF has amassed over KES 6 billion in assets, illustrating its rapid acceptance among investors. Safaricom, a telecom giant celebrated for its financial technology innovations, has redefined accessibility to wealth creation tools through this initiative as it turned 18 Years.
Safaricom CEO Peter Ndegwa announced:
“Since opening to the public in December 2024, Ziidi money market fund has attracted over Sh6 billion assets under management,” .
What Is the Ziidi Money Market Fund?
The Ziidi Money Market Fund is a regulated collective investment scheme that allows individuals to pool their funds, which are then professionally managed by fund managers. It offers a secure, low-risk option for people looking to grow their savings over time.
Key attributes of the fund include:
- Accessibility: Minimum investments starting at KES 100.
- Convenience: Fully integrated with Safaricom’s mobile money platform, M-PESA.
- Competitive Returns: Daily accrual of interest, compounded for better growth.
- Security: Fund overseen by reputable managers and regulated by the Capital Markets Authority (CMA).
Milestones Achieved: Crossing the KES 6 Billion Mark
In early 2025, the Ziidi Money Market Fund hit a remarkable milestone, surpassing KES 6 billion in assets under management (AUM). This figure highlights Kenyans’ increasing appetite for low-risk investment opportunities.
Factors contributing to this growth include:
- Safaricom’s Credibility: As Kenya’s leading telecom provider, Safaricom has earned trust among millions of users.
- Ease of Use: Investments and withdrawals can be made seamlessly via M-PESA, removing traditional hurdles like bank visits and paperwork.
- Public Awareness: Aggressive campaigns educating Kenyans about the benefits of money market funds.
The Integration of Ziidi with M-PESA
A key differentiator for the Ziidi MMF is its integration with M-PESA, a globally recognized mobile money platform. This synergy eliminates barriers that previously excluded many Kenyans from formal investment opportunities.
How it Works:
- Users access the Ziidi MMF through the M-PESA app or by dialing a USSD code (*334#).
- Investments start as low as KES 100, catering to diverse income groups.
- Interest earned is credited to the investor’s account daily, with the option to reinvest.
- Withdrawals are processed instantly, ensuring liquidity.
This innovative model allows anyone with a mobile phone to invest, irrespective of location or income level.
Read: Why Invest In Ziidi Money Market Fund (MMF) in 2025
Key Features of the Ziidi Money Market Fund
- Low Minimum Investment:
With an entry threshold of KES 100, Ziidi caters to both seasoned investors and those new to the financial market. - Competitive Returns:
The fund offers returns that are higher than savings accounts, attracting individuals seeking to maximize their savings. - Zero Transaction Fees:
Deposits and withdrawals are free of charge, making Ziidi a cost-effective solution for small-scale investors. - Transparency and Security:
- Users can monitor their investments through real-time dashboards.
- Transactions are protected by M-PESA’s robust PIN verification system.
- Professional Management:
Ziidi collaborates with top-tier fund managers like Sanlam Investments, ALA Capital, and Standard Investment Bank, ensuring strategic allocation of funds.
Why the Ziidi Money Market Fund Stands Out
1. Accessibility to the Masses
Unlike traditional investment vehicles requiring large sums and complex paperwork, Ziidi simplifies investing by leveraging technology.
2. Financial Inclusion
In a country where over 30% of the population lacks access to formal financial institutions, Ziidi provides a pathway to economic empowerment.
3. Liquidity
Immediate withdrawals allow users to access their funds in emergencies, a feature not often available in traditional investment products.
Impact on Financial Inclusion
The Ziidi Money Market Fund has democratized investment in Kenya, empowering both urban and rural populations. Its success is a reflection of Kenya’s growing fintech sector, which has prioritized innovation to solve real-world challenges.
Highlights of its Impact:
- Enabled over 200,000 new investors to start their financial journeys.
- Created an affordable alternative to traditional savings accounts.
- Enhanced financial literacy by encouraging a culture of saving and investment.
Comparing Ziidi with Other Money Market Funds
1. Traditional Bank Accounts
- Returns: Ziidi offers higher interest rates.
- Accessibility: Ziidi eliminates the need for physical bank visits.
- Cost: Traditional accounts may include hidden fees, while Ziidi has zero deposit/withdrawal charges.
2. Competitor Money Market Funds
- While competitors like CIC MMF and Britam MMF offer competitive returns, Ziidi’s integration with M-PESA and lower minimum investment make it a more inclusive choice.
Challenges and Opportunities
Despite its impressive growth, the Ziidi Money Market Fund faces challenges:
- Awareness Gaps:
Many Kenyans remain unaware of money market funds as a viable investment option. - Competition:
The fund competes with well-established players like CIC Group, Britam, and ICEA Lion. - Regulatory Compliance:
Adapting to changes in taxation or investment regulations could impact its operations.
Future Prospects:
- Expanding user education campaigns to reach more Kenyans.
- Offering additional investment products tailored to specific demographics, like youth and women.
- Introducing incentives for long-term investments.
Safaricom’s Role in Promoting Financial Health
As a leading telecom provider, Safaricom has a history of pioneering fintech innovations in Kenya. The Ziidi MMF is part of its broader strategy to:
- Enhance digital financial inclusion.
- Foster a saving culture among Kenyans.
- Provide accessible tools for wealth creation.
The company’s vision aligns with Kenya’s Vision 2030, which prioritizes financial literacy and economic empowerment.
The Ziidi Money Market Fund’s success in surpassing KES 6 billion in assets under management is a testament to the power of technology in reshaping the financial landscape. By offering low barriers to entry, competitive returns, and unparalleled convenience, Ziidi has set a new benchmark for investment products in Kenya.
As more Kenyans embrace mobile-based investments, the Ziidi MMF is poised to play a pivotal role in driving financial inclusion and wealth creation in the country. Safaricom’s commitment to innovation ensures that this platform will continue to evolve, meeting the needs of a dynamic and fast-growing market.
