Appetite for this month’s 10-year Treasury bond is likely to remain muted as investors wait for the Finance Bill to pass through Parliament to give clarity on the interest rate direction, analysts say.
The Bill proposes repeal of the interest rate cap, whose removal could trigger a rise in interest rates on government securities if banks start to shift towards private sector lending. The bond seeks to raise Sh40 billion for budgetary support with its sale due to close this week..
