Pressure on short term T-bills yields in tight liquidity

Regulator Central Bank of Kenya building in Nairobi. PHOTO | SALATON NJAU | NMG

Six-month and one-year treasuries yields are expected to come under upward pressure as tight liquidity in the market constrains investor bids.

Central Bank of Kenya (CBK) data shows  that the 91, 182 and 364-day T-bill auctions last week resulted in bids of just Sh8.6 billion, equivalent to just a third of the Sh24 billion offered.

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Note: The results are not exact but very close to the actual.