Safaricom CEO pay hits $2.2 million after a 17% rise in the year ending March 2025. Peter Ndegwa now leads the Nairobi Securities Exchange (NSE) as its top-earning executive.
The company rewarded its leadership following a return to growth, as profits rebounded and key business segments performed strongly.
What Ndegwa Earned
Peter Ndegwa took home KES 294.2 million ($2.2 million) in total compensation. The payout includes:
- Salary: KES 98.7 million ($765,100)
- Bonus: KES 116.7 million ($904,600)
- Non-cash perks: KES 33.5 million ($259,187)
- Performance shares (EPSAP): KES 45.3 million ($351,155)
These perks, though not fully disclosed, may include housing, cars, school fees, and club memberships — common benefits for top executives in Kenya.
Comparison with Other CEOs
Ndegwa’s rise puts him ahead of Paul Russo, CEO of KCB Group, who earned KES 250.2 million ($1.9 million) during the same period. Despite Russo’s 40.8% raise, Ndegwa remains the highest-paid CEO among all NSE-listed companies.
This executive pay growth stands in sharp contrast to the national mood. Most Kenyan companies have frozen salaries. Many workers are battling inflation and shrinking disposable incomes.
Bigger Pay Across the Boardroom
Safaricom did not stop with Ndegwa. Other senior leaders also received sizable boosts:
- CFO Dilip Pal: KES 132 million ($986,000), up from KES 113.8 million
- Combined CEO and CFO total: KES 426.7 million ($3.2 million), a 16.5% increase
- Chairman Adil Khawaja: KES 24.5 million ($189,918)
- Non-executive directors: KES 84.7 million ($655,319)
This brings the total boardroom compensation to KES 511.4 million (\$3.8 million), which is a 10% increase from the previous year.
According to TechCabal, this level of executive remuneration cements Safaricom’s place among Kenya’s most generous boardrooms.
Why the Pay Increase?
The compensation boost followed an 11% rise in net profit, reaching KES 69.8 billion (\$540 million) for the year ended March 2025. This growth was fueled by:
- Strong mobile money (M-Pesa) performance
- Higher mobile data revenues
- Reduced losses in Ethiopia
After two years of flat performance due to the Ethiopia expansion, Safaricom is now back on a strong growth trajectory.
As Reuters reported, the group’s earnings before interest and tax (EBIT) rose to KES 104.1 billion, reflecting recovery in both Kenya and Ethiopia.
Still Dominant in the Market
Safaricom continues to lead Kenya’s telecom and digital payment sectors. It is still East and Central Africa’s most profitable listed company.
Despite challenges in Ethiopia, the telco remains bullish about long-term opportunities in the region’s most populous nation.
However, public reaction to executive pay raises has been mixed. Many believe such massive bonuses are tone-deaf in a struggling economy. Even so, Safaricom defends the figures, saying they are performance-based and linked to shareholder returns.
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