The Central Bank of Kenya(CBK) accepted bids worth KSh 29.66 Billion from the weekly Treasury Bills auction that was held on Thursday 12th November 2020. This is against bids worth KSh 30.37 Billion, a 126.55% subscription rate.
The CBK offered 91 days Treasury Bills worth KSh 4 Billion and received bids worth KSh 8.8 Billion, a 220.3% subscription rate.
Out of the KSh 10 Billion of the 182 days T Bills that was offered, the CBK received bids worth KSh 8 Billion, and accepted KSh 8 Billion a subscription of 80.3%.
The 364 days TBills worth KSh 10 Billion were offered at the weekly auction, attracting bids worth KSh 13.5 Billion and KSh 13.1 Billion bids accepted, a 135.4% subscription rate.
Out of KSh 29.7 Billion, competitive bids accepted were KSh 8.1 Billion, KSh 7.4 Billion and KSh 12.4 Billion for the 91, 182 and 364 days Treasury Bills respectively. Non-competitive bids were KSh 490 Million, KSh 611.5 Million and KSh 680.2 Million for the 91, 182 and 364 days Treasury Bills.
Interest rates offered for the 91 days, 182 day and 364-day instruments during this auction were 6.674%, 7.114% and 8.042% compared to 6.666%, 7.072% and 7.994% at the previous auction.
The next T-Bills auction, worth KSh 24 Billion, and bids closure is this Thursday, 19th November 2020. Results of this auction will be announced on 20th November, 2020.
The CBK intends to use KSh 13.7 Billion for loan redemptions while KSh 10.3 Billion is for new borrowings/net repayment.
CBK said all bids must be received by 19th November, 2020 while payments to successful bidders will be made on Monday, 23rd November 2020.
All Non-competitive bids are subject to a maximum of KSh 20 Million per account per tenor.
However, state corporations, public universities and semi-autonomous government agencies are excluded from this restriction.