Safaricom reported KES 1.247 trillion in value for Kenyan society in FY26, a rise in Scope 1 and 2 emissions, solar power at 2,028 sites against a 2030 target of 5,000, and one work related fatality in its 15th Sustainable Business Report, launched in Nairobi on 27 October.
Group CEO Peter Ndegwa presented the 2026 report at the Michael Joseph Centre, with Principal Secretary Dr. Eng. Festus Ng’eno of the State Department for Environment and Climate Change and UN Resident Coordinator Dr. Gary Conille in attendance.
Themed “Rooted in Impact, Connecting the Future.” It follows the media briefing Khusoko covered on 24 October on double materiality and the new impact method.
“Sustainability cannot sit alongside the business; it has to be how we do business,” Ndegwa said.
Key facts
- Value created for Kenyan society reached KES 1.247 trillion, up about 10% from KES 1.133 trillion.
- Scope 1 and 2 emissions rose 9.1% to 56,354.12 tonnes of carbon dioxide equivalent.
- Solar powered sites total 2,028 after 596 additions, against a 2030 target of 5,000.
- Privacy trust scores recovered to 70% for M-PESA and 61% for Safaricom.
- One work related fatality was recorded, down from three in FY25.
Value created for Kenyan society rises 10%
Alexforbes valued Safaricom’s activities at KES 1.247 trillion in FY26, up about 10% from KES 1.133 trillion in FY25 on a comparable basis. Net economic value rose 3.5% to KES 654.0 billion from KES 632.0 billion. The value to profit ratio fell from 16 times to 13 times because profit grew faster than the impacts the assessment captures. The report states that the fall does not signal a lower value for society.
Safaricom’s spending supported 310,489 direct and indirect jobs. Adding induced employment lifts the figure to 1,405,887 job years, up from 1,334,798 in FY25. A job year is one full-time job held for one year, so the figure measures modelled employment and not permanent roles at Safaricom. Ndegwa said the ecosystem sustained more than 1.4 million jobs, including 70,000 added during the year.
New valuation method replaces True Value
Safaricom appointed Alexforbes to run a revised impact valuation of its Kenyan operations, replacing the True Value assessment used in earlier years. The method draws on the Value Balancing Alliance and the International Foundation for Valuing Impacts, and models economic effects through a Kenya specific Social Accounting Matrix. The scope covers Kenyan operations for the year ended 31 March 2026 and excludes Safaricom Ethiopia. The report states that a positive impact in one area does not offset a negative impact in another.
The Alexforbes Paragon SDG Impact Assessment graded Safaricom B+ across the nine priority Sustainable Development Goals, Ndegwa said, with A+ on SDG 9 (industry, innovation and infrastructure), SDG 10 (reduced inequalities) and SDG 17 (partnerships for the goals).
Double materiality produces five material matters
The 2026 double materiality assessment weighs impact materiality, which covers Safaricom’s effect on people, society and the environment, and financial materiality, which covers sustainability risks and opportunities that affect long term value. I
t produced five material matters: Building Trust in the Digital Economy, Connecting People and Communities, Empowering Our People, Protecting Our Planet, and Leading Responsibly. Ndegwa said the process identified more than 40 material topics under those pillars. The report also deepens alignment with IFRS S1 and S2 disclosure standards.
Emissions climb as the network expands
| Emissions metric (tCO2e) | FY25 | FY26 | Change |
|---|---|---|---|
| Scope 1 | 30,159.72 | 33,853.86 | Up 12.2% |
| Scope 2, location based | 21,478.47 | 22,500.26 | Up 4.8% |
| Scope 1 and 2 combined | 51,638.19 | 56,354.12 | Up 9.1% |
| Scope 3, assured categories | Restated | 136,943.40 |
The report puts total emissions at 193,297.52 tonnes. The Board states that network expansion pressures emissions performance and that some interventions moved more slowly than planned.
“These are areas where we must do better,” Ndegwa said at the launch, referring to emissions and safety.
The 2030 targets use a 2017 base year: a 43% absolute cut in Scope 1 and 2 emissions, a 41% cut in Scope 3, 95% of the network on green energy and 5,000 sites on solar PV. FY26 closed with 2,028 solar sites after 596 additions, and green energy powered 35.7% of the network. Ndegwa’s message in the report attributes the slower solar rollout to contracting delays and expects 3,000 sites by the end of the current year. An earlier analysis of FY26 results cited 2,002 sites.
Safaricom’s climate assessment found possible exposure to changing rainfall and flash flooding at more than 80% of the locations it reviewed. It estimates that displacing diesel could save more than KES 500 million by 2030. Khusoko earlier reported on Safaricom’s net zero plan as a benchmark for Kenya’s corporate sector.
Safety record improves but misses zero harm
Safaricom recorded one work related fatality in FY26 after three in FY25. An enterprise wide Safety Reset Programme reached 73% completion against a 70% target. The company did not meet its zero harm ambition, the report states.
Privacy trust scores recover
M-PESA’s privacy trust score rose to 70% from a low of 63% in FY25, and Safaricom’s rose to 61% from 56%. The company detected and monitored about 1.25 billion intrusion attempts and investigated more than 130,000 security events.
Fraud incidents fell 82% against a 90% target, and Safaricom recovered 46% of reported fraud losses. Ndegwa framed digital trust as a leadership issue and not an IT issue.
Green bond funds solar and network efficiency
Safaricom raised KES 20 billion through its first green notes under a KES 40 billion medium term note programme. The initial KES 15 billion offer drew applications of about KES 41.6 billion, a 175.7% subscription, and Safaricom exercised the full KES 5 billion greenshoe option.
Proceeds finance renewable energy, energy efficiency and power management. Khusoko covered the green bond subscription when it closed.
At the 24 October briefing, Agnes Kariuki of Safaricom’s sustainability team said, “You are able to access cheap capital,” and that the capital speeds up the next round of green projects.
Trees and community programmes
Safaricom planted 681,284 trees in FY26, taking the cumulative total to three million indigenous trees against a five million target by 2030. The programme has restored more than 3,000 hectares. The Kenya Forest Service partnership set the five million goal in 2019.
Ng’eno credited the JazaMiti App, co developed with his ministry, with letting citizens register, track and verify planted trees under the National Tree Growing Agenda, which targets 15 billion trees by 2032 and 30% national tree cover.
The Safaricom and M-PESA Foundations invested KES 10.2 billion across all 47 counties and reached 4.4 million people. The Citizens of the Future programme aims over five years to build or refurbish 500 schools, award 10,000 scholarships and equip 56,000 teachers with digital skills. Khusoko also examined how the foundations’ spending compares with climate goals.
Government presses business on IFRS S1 and S2
Ng’eno told the audience that IFRS S1 and S2 become mandatory from 1 January 2027 for public interest entities, which include listed companies, banks and insurers. Large companies follow in 2028 and smaller enterprises in 2029, under the roadmap set by the Institute of Certified Public Accountants of Kenya.
“The capital Kenya needs for its green transition will flow to companies, and to countries, whose numbers can be trusted,” he said. He asked boards to take charge of climate risk and to build data systems that count emissions.
Ng’eno also tied the report to the weather. He cited a strong El Niño forecast for the October to December short rains, and 147 millimetres recorded at one Trans Nzoia station in the week to 18 October. “Our task this season is to move from climate information to early action,” he said.
He noted that Safaricom has sent more than 70 million SMS alerts to communities in flood prone and other high risk areas, and he asked county governments to clear drainage before the storms arrive.
Workforce and supplier figures
Women made up 49.6% of the workforce, 33.3% of executive leadership and 43.9% of senior management. Employees with disabilities reached the 3.9% target. Safaricom spent KES 6.0 billion, or 5%, with special interest groups, which covers women owned and youth owned businesses.
The next test is delivery. Safaricom has 972 solar sites to add by the end of the current year to reach 3,000, and the FY27 report will show whether Scope 1 and 2 emissions turn down.
