Kenya's CBK accepts KSh70.86 billion of KSh99.47 billion Treasury bond bids

The CBK accepted about 71% of the KSh99.47 billion in bids. The combined bid-to-cover ratio was 1.40, meaning investors submitted bids worth 1.4 times the amount accepted.

Auction results

The 15-year FXD3/2019/015 drew KSh45.92 billion of bids against KSh37.07 billion on offer. The CBK accepted KSh29.90 billion. The 30-year FXD1/2026/030 drew KSh53.55 billion, and the CBK accepted KSh40.95 billion.

Both bonds were reopenings. The 15-year has 7.8 years left to maturity and the 30-year 29.5 years. Their maturity dates are 10 July 2034 and 13 March 2056. David Luusa, the CBK's Director of Financial Markets, signed the results on 4 November 2026.

Rates and proceeds

Investors sought a market-weighted average rate of 12.8717% on the 15-year bond and 14.1711% on the 30-year. The CBK accepted weighted average rates of 12.7404% and 14.1266%. The coupons are 12.34% and 12.50%.

Non-competitive bids, where investors accept the clearing rate instead of naming a price, accounted for KSh22.73 billion of the 15-year acceptance and KSh15.95 billion of the 30-year acceptance. Of the proceeds, KSh40.46 billion goes to redemptions and KSh30.40 billion to new borrowing or net repayment.

Debt burden and demand

Kenya's public debt rose 9.22% to KSh13.01 trillion ($100.85 billion) at 30 June 2026, from KSh11.81 trillion ($91.55 billion) a year earlier, Zawya reported. Interest payments are projected at KSh1.25 trillion ($9.68 billion) in the current financial year, about a third of government revenue.

Commercial banks are among the largest holders of Kenya's more than $50 billion of outstanding domestic government securities, Reuters reported, and often prefer them to riskier private-sector lending. The National Infrastructure Fund began buying domestic government bonds in July, deploying part of its 340 billion shilling ($2.62 billion) seed capital, CEO James Mworia told Reuters. At that size the planned investment is equivalent to roughly a third of Kenya's domestic borrowing target for the fiscal year ending June 2027, he said.

Earlier demand

Oversubscription is not new. At an earlier auction of reopened bonds FXD1/2019/020 and FXD1/2026/030, bids reached KSh81 billion against a KSh60 billion offer, a 136% oversubscription, and the government accepted KSh50 billion, Soko Directory reported on 21 September 2026. The same week the 91-day Treasury bill drew KSh23 billion of bids against KSh8.0 billion on offer. The report also noted 25-basis-point rate hikes by the U.S. Federal Reserve and Bank of Japan.

What happens next

The CBK said it will issue additional Treasury bonds during November 2026. Tenors, amounts, coupon rates and issue terms will be set out in the relevant prospectus before the issue date.