As of September 30, 2025, the Ziidi Money Market Fund (MMF), offered by Safaricom in partnership with fund managers like Standard Investment Bank and ALA Capital Limited, continues to be a go-to investment for Kenyans seeking low-risk, high-liquidity options via M-Pesa.
With over KSh 6 billion in assets under management (AUM) and more than 450,000 investors, Ziidi remains a standout for its accessibility (minimum investment of KSh 100) and seamless digital integration.
This guide provides the latest interest rate updates for September 2025, based on verified data, to help you make informed decisions.
Current Interest Rates (September 2025)
The Ziidi MMF offers a daily effective annual yield, which fluctuates based on market conditions, particularly the performance of short-term securities like Kenyan Treasury bills.
Here’s the latest:
- Effective Annual Yield: Approximately 6.84% as of September 30, 2025 (after 15% withholding tax on interest).
- Daily Interest: Computed and credited daily to your Ziidi account, starting 24 hours after deposit.
- Compounding: Interest compounds daily, boosting returns over time.
- Taxation: Interest earnings are subject to a 15% withholding tax, automatically deducted.
Example: Invest KSh 10,000 at 6.84% annual yield. You’d earn roughly KSh 1.87 daily (~KSh 56 monthly, post-tax), assuming rates hold steady.
Note: Rates are not fixed and vary daily based on market dynamics, such as Central Bank of Kenya (CBK) rates and demand for Treasury bills. In September 2025, yields have stabilised around 6-7% after a slight dip from earlier highs (7-8% in Q2 2025), reflecting CBK’s steady monetary policy post-2024 rate hikes.
Recent Trends and Context
- September Performance: Ziidi’s yield has remained between 6.5% and 7.0% throughout September, down from peaks of ~8% in early 2025 due to easing CBK rates. The 91-day Treasury bill, a key component of Ziidi’s portfolio, averaged 8.2% in Q3 2025, influencing MMF returns.
- AUM Growth: Ziidi’s AUM crossed KSh 6 billion by mid-2025, up 20% from Q1, driven by mobile money adoption and trust in CMA-regulated funds.
- Shariah-Compliant Option: Launched in early 2025, the Shariah-compliant Ziidi MMF mirrors the standard fund’s yield (~6.84%) but invests only in Islamic finance-compliant instruments.
Why the Rates Matter
- Beating Inflation: Kenya’s inflation rate is ~5-6% in September 2025. Ziidi’s 6.84% yield offers a modest real return (post-tax), outpacing most bank savings accounts (4-6%).
- Liquidity: Instant withdrawals to M-Pesa (minimum KSh 10) with no fees make it ideal for short-term goals.
- Low Risk: Backed by CMA oversight and investments in secure securities (e.g., Treasury bills), principal loss is unlikely, though returns aren’t guaranteed.
How to Check Daily Rates
- M-Pesa App: Open the app, go to the “Grow” tab, and select “Ziidi.” The dashboard displays the current daily yield and your earnings.
- USSD (*334#): Dial, select “Ziidi” (option 5 in some menus), and view the latest rate.
- Safaricom Website: Check www.safaricom.co.ke or Ziidi’s dedicated page for weekly rate updates.
- SMS Alerts: Opt-in during registration for daily/weekly yield notifications.
Tips for Maximising Returns
- Invest Consistently: Set up recurring deposits (e.g., KSh 500 monthly) via the M-Pesa app to leverage compounding.
- Lock Funds: Use Ziidi’s lock feature to curb impulse withdrawals while still earning interest.
- Monitor Rates: Yields shift daily; check the app before large deposits to catch high-rate days.
- Start Small: Even KSh 100 grows with daily compounding.
Key Reminders
- No Fees: Zero M-Pesa transaction or maintenance fees for Ziidi deposits/withdrawals.
- Limits: KSh 250,000 per transaction, KSh 500,000 daily (M-Pesa caps apply).
- Risks: While low-risk, yields aren’t guaranteed and can dip if market rates fall.
- Support: Contact Safaricom via 100/200 for issues.
Final Thoughts
Ziidi MMF’s 6.84% yield in September 2025 makes it a solid pick for Kenyans seeking better returns than savings accounts without locking up funds.
Its M-Pesa integration and low entry point make it perfect for beginners in Mombasa, Eldoret, or beyond. Rates may fluctuate, so track them daily via the app or USSD. Not sure if it’s for you? Start with KSh 100 and see how it grows!
This post is for informational purposes only, not financial advice. Data verified as of September 30, 2025. Always check real-time rates in the M-Pesa app or with Safaricom.
Ronnie Paul is a seasoned writer and analyst with a prolific portfolio of over 1,000 published articles, specialising in fintech, cryptocurrency, climate change, and digital finance at Africa Digest News.
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