We made it to the end of the week! Congratulations and looking forward to seeing you on the flip side!
Before all that though, we have a work day to get through. Attached to the note is October’s bond auction prospectus where the Central Bank has re-opened both the FXD1/2016/10Yr (1.8 years) and the FXD1/2022/10Yr (7.6 years) in a bid to lock in KES 30Bn. Attached as well is this week’s T-bill auction results. The auction was under-subscribed and the rates across the three T-bills continue in their downward trajectory. The under-subscription can be linked to the underwhelming maturities in play this week. As we get through this day, below is a snapshot of what is at play within the secondary market for your consideration. Happy hunting!
**Links to the attachments are below the note (please let me know what you think of this change)
Below are the two-way quotes for the benchmark tenors:
Indicative Two-Way Quotes - Benchmark Tenors
Benchmark Tenor
Bid (%)
Offer (%)
Mov (t-t0)%
1Yr
16.80
16.50
0.00
2Yr
17.50
17.00
0.00
5yr
18.00
17.70
0.00
10yr
17.00
16.70
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
17.00
16.00
0.00
IFB1/2021/16 (IFB21)
Jan-37
17.00
16.50
0.00
IFB1/2021/18 (IFB22)
Mar-39
17.10
16.50
0.00
IFB1/2021/21 (IFB23)
Aug-42
17.20
16.50
0.00
IFB1/2022/19 (IFB24)
Jan-41
17.10
16.50
0.00
IFB1/2022/18 (IFB25)
May-40
17.00
16.50
0.00
IFB1/2022/14 (IFB26)
Oct-36
17.00
16.50
0.00
IFB1/2022/6 (IFB27)
Nov-28
16.50
16.00
0.00
IFB1/2023/17 (IFB28)
Feb-40
16.50
16.30
-0.30
IFB1/2023/7 (IFB29)
Jun-30
16.70
16.30
-0.10
IFB1/2023/6.5 (IFB30)
May-30
16.30
16.00
-0.30
IFB1/2024/8.5 (IFB31)
Aug-32
16.40
16.20
-0.25
Key Interest Rates
Mov (bps)
O/N Interbank
12.7479%
-0.55
91 Day T-bill
15.7183%
-2.80
182 Day T-bill
16.5888%
-2.69
364 Day T-bill
16.7999%
-1.32
Central Bank Rate (CBR)
12.75%
-25.00
Inflation
4.40%
10.00
Attached are the bond positions available today, October’s Bond Auction Prospectus and this week’s T-bill auction results.
