Investors are likely to demand a premium above the 16 percent return the government is offering on a 10-year bond, testing the resolve of the Central Bank of Kenya (CBK) and the National Treasury to lower the interest cost on domestic debt.
This bond, alongside two reopened three- and five-year papers, make up the March 2024 issuance whose target is to raise a combined Sh40 billion. The three-year bond sale concluded last week, raising Sh34.3 billion, while the five and 10 year options are on sale until March 20.
