(CBK) Central Bank of Kenya, the government’s fiscal agent is seeking KSh 70 billion through re-opened 10, 20 and 30-year fixed-coupon Treasury bonds for budgetary support. This happens just days before the 2025/25 fiscal year comes to a close.
CBK is offering investors coupons of 13.49%, 13.444%, and 12.50% respectively for the 10-year, 20-year and 30-year Treasury bonds.
According to the prospectus, bids close on 8 July 2026 for the three bonds. The reopened 10-year Treasury Bond has 5.8 years to maturity on 3rd May 2032 while the reopened 20-year Treasury Bond has 15.2 years to maturity on July 22nd 2041. The newly issued 30-year Treasury Bond has 29.9 years to maturity on 13th March 2026.
The period of sale for the three Treasury Bonds, which attract a Witholding tax of 10%, runs from 25th June 2026 to 08th July 2026, with an auction date of Wednesday, 08th July 2026 and a settlement date of 13th July 2026.
Non-competitive bid is set at a minimum of KSh 50,000 and a maximum of KSh 50 million, while competitive bid amount at a minimum of KSh 2 million per CSD account per tenor.
All successful bidders are asked to obtain the payment key and amount payable from the CBK DhowCSD Investor Portal/App under the transactions tab on Friday, July 10, 2026, for the three Treasury Bonds. Defaulters may be suspended from subsequent investment in Government Securities.
The CBK reserves the right to accept applications in full or part thereof or reject them in total without giving any reason. Secondary trading in multiples of KSh 50,000.00 commence on Monday, 13th July 2026.
The CBK will rediscount bonds as a last resort, at 3% above the prevailing market yield or coupon rate whichever is higher. Rediscount instructions should be sent from the CBK DhowCSD investor portal/App under the Instructions tab, select Create new and the Rediscount option.
The Bonds, which may be re-opened at a future date, qualify for statutory liquidity ratio requirements for Commercial Banks and Non-Bank financial institutions as stipulated in the Banking Act CAP 488 of the laws of Kenya.
The bonds will be listed on the Nairobi Securities Exchange(NSE). Investors can pledge Government Securities as collateral to access loans from regulated financial institutions. A pledge not cancelled at least five days before the securities mature, will result in securities automatically settling to the lender’s account.
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