Investors of Kenya’s flagship stadium project, Talanta Sports City, are set to earn billions of profits in interest after a tax incentive by the Government of Kenya (GoK).Follow our WhatsApp channel for more newsThis is after the government decided to exempt the interest income from withholding tax, transfers incur no capital gains tax, and no stamp duty applies on issuance or redemption.Benni McCarthy weighs in on Aldrine Kibet’s move to his old clubTalanta Sports City Stadium is a brand new stadium being built by the government to a tune of Ksh44 billion and will serve as the main facility for Kenya in the 2027 Africa Cup of Nations (AFCON).To raise money for the project, Linzi Finco 003 Trust, a subsidiary of the Pan-African Liaison Group, listed a Ksh44.79 billion Infrastructure Asset-Backed Security (IABS) on the Nairobi Securities Exchange (NSE).##NAJAVA_MECA_9022241##The bond was one of the most sophisticated structured financing in East Africa as it was backed by future revenues from the sporting facility and blended domestic capital mobilisation with innovative financial engineering.The bond, which had a minimum subscription of Ksh1 million with a maturity of 25 years, due on July 2040, will see investors earn Ksh57.6 billion in tax-free interest over 15 years.Hussein Mohammed reveals why FKF is yet to reward league winnersThe incentive comes a month after Linzi Finco, the issuer, announced that the bond was fully subscribed, and exceeded their target, raising Ksh44.875 billion, with the entire amount coming from Kenyan investors.The amount will help the government pay the contractor, China Road and Bridge Corporation (CRBC), which as of April had only received five per cent of the total amount they had spent on construction, that is currently at 37%.##NAJAVA_MECA_9022240##CRBC are working around the clock to have the project ready by 31 December, when they should hand over the complete stadium to the government.Apart from the construction of Talanta Sports City, the government also renovated Moi International Sports Centre, Kasarani and Nyayo National Stadium, which are set to host the 2024 African Nations Championship (CHAN).McCarthy clears air on presence of experienced midfielder in Harambee Stars campKasarani Annex A and B, Police Sacco Stadium, Ulinzi Sports Complex and Utalii Grounds have also been renovated for use as training grounds for CHAN.
