The price of Kenya’s dollar bonds slightly dipped after the arrest of the Treasury boss Henry Rotich due to corruption charges. It is the first time in Kenya that a sitting Finance Minister has been arrested over graft.
As reported by Reuters, Tradeweb data shows that long term bonds expiring in 2028, 2032, and 2048 dipped by 0.5 cents in the dollar. Usually, a drop in the bond price results in a jump in interest payment on the debt instrument.
Following the arrest, markets remained relatively unchanged despite fears of a decline due to the unexpected turn of events.
Henry Rotich will be charged alongside his deputy, Principal Secretary Kamau Thugge, and 26 other officials linked to the Kimwarer dam scandal where an estimated KSh21 billion is said to have been misappropriated.
