Kenya Treasury bills · auction of 27 February 2012
Kenya T-bill auction, 27 February 2012: 91-day at 19.152%, down 18 bps
At the Treasury bill auction dated 27 February 2012, the Central Bank of Kenya cleared the 91-day bill at 19.152% (down 18 basis points) and the 182-day bill at 19.247% (down 29 basis points).
The auction was fully subscribed: bids totalled KES 7.9bn against KES 7.0bn on offer, a subscription rate of 113%. The government accepted KES 5.0bn, or 63% of what was bid.
The 91-day paper drew the most interest relative to its size, at 168% subscribed.
Over the past year the 91-day rate has ranged from 8.798% to 20.799%.
What this means for KES 100,000
Worked from the published rate · information, not advice
KES 8,180 in 6 months on the 182-day bill, after tax
Put KES 100,000 into the 182-day bill at this auction and you get back KES 108,180 after 6 months: KES 8,180 in interest after 15% withholding tax (KES 9,624 before), about KES 1,363 a month.
That is KES 124 less than the same money would have earned at the previous auction.
For shorter money: KES 4,070 on the 91-day bill (3 months).
The Central Bank’s minimum bid is KES 100,000, and the government pays the full amount at maturity; the risk is Kenya’s government not paying, and the money is locked until then.
Kwa Kiswahili
Ukiweka KES 100,000 kwenye hati ya siku 182 kwa riba ya mnada huu, utarudishiwa KES 108,180 baada ya miezi 6: riba ya KES 8,180 baada ya kodi ya zuio ya 15% (KES 9,624 kabla ya kodi), yaani takriban KES 1,363 kwa mwezi.
Hiyo ni KES 124 pungufu ya kiasi ambacho pesa hiyo hiyo ingepata kwenye mnada uliopita.
Kiwango cha chini cha Benki Kuu ni KES 100,000. Serikali hulipa yote mwishoni mwa muda; hatari ni serikali kushindwa kulipa, na pesa haipatikani hadi muda uishe.
Compare with money market funds and bank deposits, after tax →
Results
By tenor
| Tenor | Rate | Previous | Offered | Bids | Subscription | Accepted | Price /100 |
|---|---|---|---|---|---|---|---|
| 91-day | 19.152% | 19.332% | KES 4.00bn | KES 6.73bn | 168% | KES 4.03bn | 95.443 |
| 182-day | 19.247% | 19.539% | KES 3.00bn | KES 1.19bn | 40% | KES 0.97bn | 91.243 |
Source: Central Bank of Kenya result notice · the PDF these figures were read from
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