Payments for the oversubscribed seven-year infrastructure bond tightened liquidity in the money markets last week, forcing banks to turn to the Central Bank of Kenya (CBK) for Sh20 billion in the repo market.
The CBK says in its latest weekly bulletin that the excess cash reserves held by banks fell Sh1.7 billion below the 5.25 per cent statutory minimum, having stood Sh10.4 billion above the threshold a week earlier.
