Kenya sells third Sh210bn Eurobond

Kenya has sold a Sh210 billion Eurobond, the third in five years, despite rising concern over its ability to service its debt burden.

The National Treasury Cabinet Secretary Henry Rotich says in a statement dated May 15, that the issuance “triggered an overwhelming response from investors” leading to an oversubscription of 4.5 times.

“The Government of Kenya, acting through the National Treasury and Planning, has successfully priced a new $2.1 billion, dual-tranche Eurobond of 7-year and 12-year tenors on 15th May 2019 in London, United Kingdom,” reads the statement.

Mr Rotich says the money raised will be used to finance the budget and repay Sh75 billion 2014 Eurobond that is due to mature in June.