Top tier banks cut the paper losses on the market value of their bond holdings by Sh15.9 billion last year, reflecting their reduced appetite for new lending to the government in the period.
The financial reports by the nine banks for the year ended December 2023 show that their cumulative fair value losses on government bonds stood at Sh39.27 billion at the end of December, down from Sh55.18 billion in December 2022.
