Interest rates on short-term Treasury bills rose in Thursday’s auction with rates on 182-day and 364-day performing better than the 91- day papers.
The Central Bank raised Ksh 18.11 billion at the auction against a target of Ksh 24 Billion.
Overall, the T-bills were under-subscribed at 79.5 percent, compared to 75.3 percent last week.
Yields on the 91 and 182-day papers remained unchanged at 8.0 percent and 10.5 percent, respectively, while the yield on the 364-day paper rose to 11.1 percent from 11.0 percent last week.
The 91-day T-bill is currently trading below its 5-year average of 9.2 percent mainly attributable to the low interest rate environment being experiencing since the beginning of the year.
The National Treasury has re-opened 5-year and a 10-year (FXD1/2008/15 & FXD1/2017/10) maturity worth KSh 30 billion Treasury bond for budgetary support.