Kenya Treasury bonds · auction of 11 April 2022
Kenya bond auction, 11 April 2022: FXD1/2022/003 at 11.766%
The Central Bank of Kenya's bond auction dated 11 April 2022 was a primary issue of FXD1/2022/003.
Bids came to KES 34.0bn against KES 40.0bn on offer (85% subscribed), and the Treasury accepted KES 33.1bn.
FXD1/2022/003 cleared at 11.766%, against a 11.766% coupon, with 3.0 years to maturity.
What this means for KES 100,000 of FXD1/2022/003
Worked from the published result · information, not advice
KES 5,001 every six months, after tax, for 3.0 years
At this auction KES 100,000 of face value cost about KES 100,000 (price 100.000 per 100), and the yield that implies is 11.77% a year. The coupon is 11.77%: KES 11,766 a year on KES 100,000 of face value, paid in two halves, KES 10,001 after 15% withholding tax.
Held to maturity (2025-04-07), that is about KES 29,901 in coupons, plus KES 0 gain between what you paid and the KES 100,000 repaid; roughly KES 29,901 in all after tax.
Sold before maturity, the price moves with rates: if yields rise, the bond is worth less; if they fall, more. The Central Bank’s minimum bid is KES 50,000. Compare with bills, funds and deposits after tax →
Results
By bond
| Bond | Sale | Yield | Coupon | Years left | Bids | Accepted | Price /100 |
|---|---|---|---|---|---|---|---|
| FXD1/2022/003 | primary | 11.766% | 11.766% | 3.0 | KES 34.05bn | KES 33.14bn | 100.000 |
Source: Central Bank of Kenya result notice · the PDF these figures were read from
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