Kenya has successfully raised $1.5 billion through new 7-year and 12-year bonds, the finance ministry announced Friday. The 7-year bonds carry a 7.875% interest rate, while the 12-year bonds were issued at 8.8%, reflecting strong investor confidence.
Treasury Chief Chris Kiptoo said the combined 8.7% rate is roughly 1% lower than the cost Kenya would have faced earlier this year. Investor appetite proved robust, with offers exceeding $7.5 billion, showcasing global confidence in Kenya’s fiscal management and debt strategy.
The move is part of a broader plan to extend debt maturities and reduce refinancing costs, easing pressure on public finances. Analysts say the successful bond sale signals Kenya’s continued ability to attract international capital amid a challenging global economic environment.
Finance officials described the issuance as a strategic step to manage rising debt obligations while maintaining fiscal stability for the coming years. Market watchers highlighted the strong subscription as an encouraging sign for future government financing and investor trust in Kenya’s economic trajectory.
The Treasury confirmed that proceeds from the bond sale would support ongoing budgetary needs and help refinance maturing obligations efficiently. This issuance adds to Kenya’s effort to balance economic growth with prudent debt management, aiming for sustainable fiscal policies.