H.E President Dr. William Ruto, C.G.H officiates LAPTRUST Imara I-REIT at Bourse

Wednesday 22 March 2023: Kenya’s oldest pension scheme, the Local Authorities Pension Trust (LAPTRUST) has this morning listed the first Income- Real Estate Investment Trust (I-REIT) by a pension fund at the Nairobi Securities Exchange (NSE) in a ceremony officiated by His Excellency Dr. William Samoei Ruto, C.G.H., President of the Republic of Kenya and Commander-in-Chief of the Defence Forces.

Dubbed the ‘LAPTRUST Imara I-REIT’, the listing of the Income REIT marks an important milestone for the LAPTRUST scheme and the Kenyan capital markets as a whole as it will provide investors with a unique opportunity to invest in a diversified portfolio of income-generating real estate assets.

“I see great opportunities for both the public and private sector companies to raise capital to finance growth and the economic development of this nation. My second visit to the Exchange within just a few months underlines my strong conviction of the central role I expect the capital markets to play in supporting the economic recovery process.  That is why my Governments’ funding strategy prioritises the use of public-private partnerships (PPPs), securitization, and Government divestiture through privatisation via the NSE, “said H.E Dr. William Ruto, C.G.H during the bell-ringing ceremony that took place at the Exchange in Westlands, Nairobi.

The Cabinet Secretary, National Treasury and Planning, Prof. Njuguna Ndung’u, CBS pointed out that the National Treasury and Planning seeks to facilitate any policy or legislative interventions required to ensure the capital market is well aligned to support the Government Agenda in collaboration with industry stakeholders.

“We will support efforts to ensure that the Government’s funding strategy as espoused in the Kenya Kwanza Manifesto which prioritises public-private partnerships (PPPs), securitization, and Government divestiture through privatisation via the NSE is achieved,” Prof. Njuguna Ndungu noted.

“This historic listing will allow pension funds as well as other investors to quickly capitalize on their investments while at the same time providing reliable returns. In addition, it will also give small-scale investors access to lucrative investments without having to worry about risk management or diversification. This development shows that pensions can be used to fund much-needed infrastructure projects while generating a significant return on investment in the process," said CPF Group Managing Director/CEO, Hosea Kili, OGW.

Group Managing Director / CEO, Hosea Kili, OGW

On his part the Capital Markets Authority (CMA) Chairperson, Ugas Mohammed - noted that the listing of the LAPTRUST Imara I-REIT is an important development for the NSE and the Kenyan capital markets. “REITs offer investors the potential for high returns, as well as diversification benefits. By investing in a REIT, investors can gain exposure to a diversified portfolio of properties across distinct locations and sectors. This helps spread risk and can lead to more stable returns over the long term,” Ugas Mohammed added.

The bell-ringing ceremony for the listing of the LAPTRUST Imara I-REIT is a significant event for the LAPTRUST scheme and the Kenyan capital markets. The Income REIT offers investors a unique opportunity to invest in a diversified portfolio of income-generating real estate assets, while also benefiting from the potential capital appreciation of these assets.

End…

For more information, please contact:

Irene Mbonge,

Group Head, Corporate Affairs,

Mobile: +254 721 801 863

E-Mail: imbonge@cpf.or.ke