CBK’s T-bills undersubscribed at 53.1pc raising  Ksh12.7Bn

Central Bank of Kenya (CBK)  Treasury bills auction on Thursday was undersubscribed at 53.1 percent from 41.2 percent last week attracting bids amounting to Ksh 12.7 Billion against an offered amount of Ksh  24 Billion.

“The 91-day paper received the most amount of bids with a subscription rate of 100.6 percent as compared to the 182-day and 364-day papers at 52.6 percent and 34.5 percent, respectively,” noted Cytonn Investments team.

The 91-day, 182-day and 364-day held at 8.1 percent, 10.3 percent and 10.9 percent, respectively.

CBK received Ksh 4.02 billion (91-day), Ksh 5.24 ( 182-day) and Ksh 3.45  (364-day).

The Bank also raised Ksh 11.7 Billion from its Tap sale against a target of Ksh 13 Billion.

The FXD1/2017/2 received bids worth Ksh 11.10Billion while the FXD1/2017/10, in its fifth offer, raised Ksh 630 million.

“We believe the FXD1/2017/10 offers an opportunity for the yields to re-price down by 15bps–20bps within the next six weeks,” notes analysts from Genghis Capital.