Safaricom shares fall after new tax sets in
By Moses Machira and Dominic Omondi
Safaricom lost more than Sh70 billion in value as soon as the controversial Finance Bill was passed.
The Bill will see Kenyans pay more for internet and mobile money transfer – two of the biggest revenue streams for the giant firm.
The passing of the new taxation plan saw Safaricom shares drop to a 10-month low. For the first time, the Nairobi Securities Exchange’s biggest counter was also the biggest loser.
The stock fell 6.6 per cent by close of business on Thursday to close at Sh24.75, with foreign investors fearing that further tax on internet and mobile money transfer would hurt the firm.
Photo courtesy of Scott Mainwaring.