Kenya floats US0 million T-bonds amid high demand

bond

Kenya has put up for sale two Treasury bonds worth 50 billion Kenyan shillings (500 million U.S. dollars on Tuesday as the East African nation increases domestic borrowing.

Proceeds from the securities, a five-year bond and a ten-year bond, will be used for budgetary support, the Central Bank of Kenya said on Tuesday.

The papers, whose yields will be market determined, will be sold until Feb. 25 and their secondary trading will commence at the Nairobi Securities Exchange on Feb. 26, according to the central bank.

The two bonds have been floated at a time when there is huge demand for government securities, with the last offer attracting a subscription of 555 percent.

Kenya targets to borrow 2.7 billion dollars from the domestic market in this fiscal year to finance its budget, according to the central bank. Enditem