During the Weekly Treasury Bills Auction, the Central Bank of Kenya (CBK) received bids worth Kshs 9.1 billion, resulting in an under-subscription rate of 38.1% out of the Kshs 24.0 billion offered at the auction on 27th July 2023. The most sought-after debt instrument was the 91-day treasury bills, which received bids worth Kshs 7.1 billion, exceeding the Kshs 4.0 billion offered. The CBK accepted Kshs 6.8 billion for this instrument, with an impressive oversubscription rate of 176.8%.
On the other hand, the 364-day treasury bills received bids amounting to Kshs 707.9 million, falling short of the Kshs 10.0 billion offered, resulting in an undersubscription of 7.1%. The CBK accepted bids worth Kshs 703.9 million for this particular bill.
Meanwhile, the 182-day treasury bills attracted bids worth Kshs 1.4 billion out of the Kshs 10.0 billion offered, and the CBK accepted the entire amount, achieving a performance rate of 13.63%.
Investors were presented with attractive returns of 12.352%, 12.392%, and 12.728% for the 91-day, 182-day, and 364-day treasury bills, respectively, during this auction. These rates were slightly higher compared to the previous auction on 20th July 2023, which offered returns of 12.233%, 12.322%, and 12.708%.
The next auction is scheduled for August 3, 2023, with the bidding closing on the same day. The results of the auction will be announced on August 4, 2023, and the actual amounts raised will depend on the National Treasury’s immediate liquidity requirements for the week.
