This archive report was first published on 6 November 2019.
Published on November 6, 2019, the Central Bank of Kenya (CBK) is seeking KSh 50 billion from investors through a ten-year bond to support the 2019/20 Budget.
The bond, which will be on sale between November 7th and 19th, 2019, will have a redemption date of November 12th, 2029, and will be subject to a 10% withholding tax.
Interested investors can submit their duly completed bond application forms to any branch of the Central Bank by November 19th, 2019, at 2:00 p.m. The auction date is set for November 20th, 2019.
Licensed placing agents will receive a commission of 0.15% of the actual sales, net of 5% withholding tax.
The bond will be listed on the Nairobi Securities Exchange and will be eligible for statutory liquidity ratio requirements for Commercial Banks and Non-Bank Financial Institutions.
Investors with active CDS Accounts with the Central Bank of Kenya are eligible to purchase the bond, which will have secondary trading in multiples of Sh 50,000.00 commencing on November 26th, 2019.
