Kenya Bond Market Update: 18 October 2024

Published on
October 18, 2024
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What a Good Tap 
 

As yields in the market drop, interest in government securities has shot up. From the Tap Sale of the FXD1/2022/10Yr to this week’s T-bill auction, the Central Bank has received bids surpassing their targets. With this increase in demand, the CBK has been able to reject a significant portion of bids in the T-bill space as they continue to signal for lower rates. Attached are the results of both the Tap Sale and the T-bill auction. For the rest of your activities, below is a snapshot of what is at play within the secondary market for your consideration. Happy Hunting & Weekending!

Below are the two-way quotes for the benchmark tenors: 
 
Indicative Two-Way Quotes - Benchmark Tenors
Benchmark Tenor Bid (%) Offer (%) Mov (t-t0)%
1Yr 16.00 15.70 0.00
2Yr 16.30 16.00 0.00
5yr 16.80 16.50 0.00
10yr 17.00 16.50 0.00
15yr 16.50 16.00 0.00
20yr 16.50 16.00 0.00
25yr 16.50 16.00 0.00
 
Below are details of the two-way quotes for the infrastructure bonds and the key rates:
 
Indicative Two-Way Quotes - IFB Series
IFB series Maturity Bid (%) Offer (%) Mov (t-t0)%
IFB1/2017/7 (IFB13) Nov-24 15.50 15.00 0.00
IFB1/2016/9 (IFB10) May-25 16.00 15.00 0.00
IFB1/2015/12 (IFB8) Mar-27 15.50 15.00 0.00
IFB1/2017/12 (IFB12) Feb-29 16.00 15.00 0.00
IFB1/2016/15 (IFB11) Oct-31 16.50 16.00 0.00
IFB1/2018/15 (IFB14) Jan-33 16.50 16.00 0.00
IFB1/2018/20 (IFB15) Oct-38 16.50 16.00 0.00
IFB1/2019/25 (IFB16) Feb-44 16.50 16.00 0.00
IFB1/2019/16 (IFB17) Oct-35 16.50 16.20 0.00
IFB1/2020/9 (IFB18) Apr-29 16.50 16.00 0.00
IFB1/2020/6 (IFB19) May-26 16.50 16.00 0.00
IFB1/2020/11 (IFB20) Aug-31 16.50 16.00 0.00
IFB1/2021/16 (IFB21) Jan-37 16.50 16.20 0.00
IFB1/2021/18 (IFB22) Mar-39 16.50 16.00 0.00
IFB1/2021/21 (IFB23) Aug-42 16.50 16.00 0.00
IFB1/2022/19 (IFB24) Jan-41 16.50 16.00 0.00
IFB1/2022/18 (IFB25) May-40 16.50 16.00 0.00
IFB1/2022/14 (IFB26) Oct-36 16.50 16.00 0.00
0IFB1/2022/6 (IFB27) Nov-28 16.50 16.00 0.00
IFB1/2023/17 (IFB28) Feb-40 16.15 15.95 0.00
IFB1/2023/7 (IFB29) Jun-30 16.00 15.70 0.00
IFB1/2023/6.5 (IFB30) May-30 16.00 15.70 0.00
IFB1/2024/8.5 (IFB31) Aug-32 16.05 15.80 0.00
 
 
Key  Interest Rates   Mov (bps)
O/N Interbank 11.9251% 1.23
91 Day T-bill 14.7657% -22.43
182 Day T-bill 15.6364% -45.86
364 Day T-bill 15.9115% -42.68
Central Bank Rate (CBR) 12.00% -75.00
Inflation 3.60% -80.00
Below are the links to the Bond positions available today and T-bill auction results 
Bond Positions
T-bill Auction Results
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