Hard truths.
According to the CBK prospectus, the funds raised through the reopening will be used for budgetary support, making the auction part of the government's domestic borrowing programme
The bonds will be offered through a multi-price auction, with investors able to submit either competitive or non-competitive bids
The CBK said successful investors would receive details of the amount payable through the DhowCSD Investor Portal or application under the transactions section on September 4
The Kenya Bankers Association (KBA), which led a session on domestic borrowing, credit and financial sector stability, said the increase in government borrowing was changing how banks allocate their funds.
The results also show that the government had room to select bids based on the rates offered by investors, with accepted bids reflecting the prevailing conditions in the domestic debt market
John Mbadi arrived at Parliament Buildings with a marked budget vehicle and security escort ahead of the 3pm Budget reading for 2026/27, where he is expected to present Sh4.84 trillion spending.
Mohamed linked the debt issue to broader governance concerns, saying financial mismanagement has weakened service delivery and public trust
The offer includes 15- and 25-year instruments with competitive coupon rates and secondary market listing on the Nairobi Securities Exchange
The warning comes as lower interest rates have created an opportunity for the government to borrow more cheaply through Treasury bills and bonds, issued via the Central Bank of Kenya.