Kenya Treasury bills · auction of 29 October 2012
Kenya T-bill auction, 29 October 2012: 91-day at 9.945%, up 51 bps
At the Treasury bill auction dated 29 October 2012, the Central Bank of Kenya cleared the 91-day bill at 9.945% (up 51 basis points).
The auction was undersubscribed: bids totalled KES 2.7bn against KES 4.0bn on offer, a subscription rate of 67%. The government accepted KES 2.3bn, or 86% of what was bid.
Over the past year the 91-day rate has ranged from 7.515% to 20.799%.
What this means for KES 100,000
Worked from the published rate · information, not advice
KES 2,113 in 3 months on the 91-day bill, after tax
Put KES 100,000 into the 91-day bill at this auction and you get back KES 102,113 after 3 months: KES 2,113 in interest after 15% withholding tax (KES 2,486 before), about KES 704 a month.
That is KES 108 more than the same money would have earned at the previous auction.
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 91 kwa riba ya mnada huu, utarudishiwa KES 102,113 baada ya miezi 3: riba ya KES 2,113 baada ya kodi ya zuio ya 15% (KES 2,486 kabla ya kodi), yaani takriban KES 704 kwa mwezi.
Hiyo ni KES 108 zaidi 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 | 9.945% | 9.437% | KES 4.00bn | KES 2.67bn | 67% | KES 2.29bn | 97.581 |
Source: Central Bank of Kenya result notice · the PDF these figures were read from
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