Kenya Treasury bills · auction of 14 April 2014
Kenya T-bill auction, 14 April 2014: 91-day at 8.825%
At the Treasury bill auction dated 14 April 2014, the Central Bank of Kenya cleared the 91-day bill at 8.825%.
The auction was undersubscribed: bids totalled KES 1.2bn against KES 3.0bn on offer, a subscription rate of 40%. The government accepted KES 1.2bn, or 100% of what was bid.
Over the past year the 91-day rate has ranged from 5.110% to 10.498%.
What this means for KES 100,000
Worked from the published rate · information, not advice
KES 1,875 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 101,875 after 3 months: KES 1,875 in interest after 15% withholding tax (KES 2,206 before), about KES 625 a month.
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 101,875 baada ya miezi 3: riba ya KES 1,875 baada ya kodi ya zuio ya 15% (KES 2,206 kabla ya kodi), yaani takriban KES 625 kwa mwezi.
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 | 8.825% | — | KES 3.00bn | KES 1.21bn | 40% | KES 1.21bn | — |
Source: Central Bank of Kenya result notice · the PDF these figures were read from
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