BORROWING

Central Bank to raise Sh50 billion with 20, 25-year bonds

The bank will rediscount the bonds at 3% above the prevailing market yield.

In Summary

•The bonds, which will be auctioned on March 18, come with a coupon rate of 13.20% and 13.40% for the 20- and 25-year tenors respectively, the bank said in a statement.

The Central Bank of Kenya./MONICAH MWANGI
The Central Bank of Kenya./MONICAH MWANGI

Kenya’s Central Bank will offer re-opened 20- and 25-year Treasury bonds at this month’s auction, seeking to raise a total of Sh50 billion ($486.38 million), it said on Monday.

The bonds, which will be auctioned on March 18, come with a coupon rate of 13.20% and 13.40% for the 20- and 25-year tenors respectively, the bank said in a statement.

The bank will rediscount the bonds at 3% above the prevailing market yield or coupon rate, subject to approval by the Nairobi Securities Exchange, it said.