Safaricom PLC remains one of the most sought-after investment options on the Nairobi Securities Exchange (NSE). Its strong brand, dominance in Kenya’s telecommunications sector, and reliable dividend payouts make it appealing to both first-time investors and experienced traders. In 2026, buying and selling Safaricom shares has never been more accessible thanks to digital trading platforms and mobile-based solutions.
Safaricom shares are listed under the ticker symbol SCOM. Owning these shares means holding a stake in one of Kenya’s most profitable companies. Investors can profit through capital gains when the share price rises or through dividends, which are usually paid annually. Over the years, Safaricom has maintained a solid dividend history, making it particularly attractive to long-term investors seeking steady returns.
Step 1: Open a CDS Account
Before you can buy any shares, you must open a Central Depository System (CDS) account. This account acts as a secure digital wallet where all your shares are stored. Think of it like a bank account, but for stocks.
You can open a CDS account through:
Licensed stockbrokers
Investment banks
Selected commercial banks
Requirements typically include:
Valid national ID or passport
KRA PIN
Completed application forms
Once approved, you’ll receive a CDS account number. This number is mandatory for all share transactions on the NSE.
Step 2: Choose a Licensed Stockbroker
A licensed stockbroker is an intermediary who executes trades on your behalf. Kenya has many brokers offering both physical offices and online trading platforms. Some of the most reputable brokers include:
AIB-AXYS Africa
NCBA Investment Bank
Genghis Capital
Dyer & Blair Investment Bank
When selecting a broker, consider:
Platform usability: Some brokers offer mobile apps for easier trading
Transaction fees: Typically between 1.8% and 2.1%
Customer support: Essential if you’re a beginner
Many brokers now allow complete digital onboarding, meaning you can open an account, deposit funds, and trade without visiting an office.
Step 3: Fund Your Account
After setting up your CDS account and selecting a broker, you must deposit money before buying shares. Funding options include:
M-Pesa
Bank transfer
Direct deposit
The minimum investment varies depending on the broker and current share price. Many investors start with a modest number of shares, sometimes as few as 100, to test the process before increasing their holdings.
Step 4: How to Buy Safaricom Shares
Once your account is funded, you can place a buy order for Safaricom shares. Steps include:
Log in to your broker’s platform
Search for the Safaricom ticker (SCOM)
Select the number of shares you want
Choose your order type:
Market order: Executes instantly at current price
Limit order: Executes at your specified price
Confirm the transaction
Shares are typically credited to your CDS account within 2–3 business days.
Buying Shares Using M-Pesa (2026 Update)
In 2026, mobile trading has revolutionised investing in Kenya. Through platforms integrated with M-Pesa, you can buy Safaricom shares directly from your phone. The process is simple:
Open your M-Pesa app
Navigate to “Trade” or “Invest”
Select Safaricom shares
Enter the number of shares or the amount to invest
Confirm the purchase using your M-Pesa PIN
This option is especially convenient for beginners, as it eliminates the need for a traditional broker and reduces paperwork.
Step 5: Selling Safaricom Shares
Selling shares is just as straightforward. You can sell through your broker or via M-Pesa trading platforms. Steps include:
Log in to your account
Select Safaricom shares
Enter the number of shares to sell
Choose market price or set a limit price
Confirm the sale
The NSE operates on a T+3 settlement cycle, meaning proceeds are usually credited within three business days. Mobile platforms may show pending funds instantly, but the official settlement still follows T+3.
Costs and Fees to Consider
Trading Safaricom shares incurs small but important costs:
Broker commissions: Typically 1.8%–2.1% of the transaction
NSE levies: Charges applied on all trades
CMA fees: Statutory fees for regulatory compliance
These costs are minor for long-term investors but can affect short-term trading profits.
Key Considerations for Beginners
Market Volatility: Share prices fluctuate daily due to economic conditions, company performance, and news events. For those funding investments via mobile loans, consider How to Apply for New M-Pesa Loans of Up to KSh400,000 in Kenya to borrow responsibly.
Investment Horizon: Safaricom shares are ideal for long-term investment rather than short-term speculation.
Dividends: While historically strong, future dividends are not guaranteed.
Liquidity: Safaricom shares are highly liquid, making them easier to buy and sell compared to smaller NSE stocks.
Avoid common beginner mistakes such as investing without research, buying only based on trends, or trying to time the market.
Dividend Insights and Earnings Potential
Safaricom has consistently delivered dividends to shareholders. For example, in past years, the dividend yield has ranged between 3% and 5%. Dividends are paid after company earnings are declared, usually annually. Investors seeking passive income can benefit from reinvesting dividends to grow their portfolio over time.
Comparing Safaricom with Other NSE Stocks
While Safaricom dominates in liquidity and stability, it is useful to compare it with other NSE-listed stocks:
Equity Bank (EQTY): Strong growth potential but more volatile
KCB Group (KCB): Dividend-friendly but influenced by banking sector trends
BAT Kenya: High dividend yield but slower capital appreciation
Safaricom offers a balanced option with both growth potential and income, making it suitable for conservative investors.
Long-Term Investment Strategy
For long-term investors, the key is patience and consistency. Strategies include:
Dollar-cost averaging: Buying shares regularly regardless of price to reduce market timing risk
Dividend reinvestment: Using dividends to purchase more shares
Portfolio diversification: Combining Safaricom with other NSE stocks to reduce risk
Long-term investment in Safaricom has historically yielded solid returns, both from capital gains and dividends.
Conclusion
Investing in Safaricom shares in Kenya has become easier than ever, whether through traditional brokers or mobile-based platforms like M-Pesa. With a clear understanding of the process, associated costs, and risks, both beginner and experienced investors can take advantage of opportunities in the Nairobi Securities Exchange.
Safaricom remains a reliable choice for long-term growth, dividends, and liquidity. By following the steps outlined in this guide, you can confidently buy and sell shares while making informed investment decisions in 2026.
Frequently Asked Questions (FAQ)
Q1: How can I buy Safaricom shares in Kenya?
You can buy shares through licensed brokers, investment banks, or mobile platforms like M-Pesa. A CDS account is mandatory.
Q2: What is the minimum amount to invest?
It depends on the current share price and broker requirements, usually starting from a few thousand shillings.
Q3: How long does it take to receive money after selling shares?
The NSE uses a T+3 settlement cycle; funds are credited within three business days.
Q4: Can I buy shares directly using M-Pesa?
Yes. Mobile trading platforms integrated with M-Pesa allow purchases directly from your phone without visiting a broker.
Q5: Are Safaricom shares safe?
They are considered relatively stable, especially for long-term investors, but all stocks carry market risks.
Q6: What fees are involved in trading Safaricom shares?
Broker commissions (1.8–2.1%), NSE levies, and CMA fees apply to each transaction.
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