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Investors agree to transfer Sh22.5bn in bond switch deal
A swap bond occurs when holders of a paper that is nearing maturity are offered the exclusive chance to move all or part of their principal directly into another longer bond.
Investors have agreed to transfer Sh22.5 billion from maturing government securities into a longer-dated bond that falls due in 2029, giving the National Treasury relief from pressure to make the repayments.
The swap transaction, which is also known as a switch bond sale, was targeting Sh15 billion maturities from three Treasury bills that mature on September 7, 2026, and a 15-year bond that is due for repayment in September 2027.
