The Central Bank of Kenya has opened a KSh 24 billion Treasury Bills auction, providing a final investment opportunity in government securities before the year ends. Picture of President William Ruto (l), Kenyan money, and CBK Governor Kamu Thugge used for illustration. The offer comprises KSh 4 billion in 91-day bills, KSh 10 billion in 182-day bills, and KSh 10 billion in 364-day bills. According to the auction announcement signed by Robert Aloo for the Director of Financial Markets, all bids must be submitted and received by CBK electronically via the DhowCSD or Treasury Mobile Direct platforms by 12:00 pm on Wednesday, December 31, 2025. This comes as the interest rates on government securities show continued stability, with the key 364-day rate holding below the 10% mark. What were the results of the previous auction? The results for the Treasury Bills auction released on December 24 show a poor performance in investor uptake. The government offered a total of KSh 24 billion but received bids worth only KSh 5.41 billion, representing a performance rate of 22.55%. The 182-day tenor saw the weakest demand, receiving bids for just KSh 712 million against a KSh 10 billion offer.
Interest rates remained stable as the 91-day bills were accepted at a weighted average rate of 7.7281%, a slight decrease from the previous auction’s 7.7749%. The 182-day bills maintained their rate at 7.8000%, while the 364-day bills were accepted at 9.2109%, also showing a marginal decline from 9.2287%. What are the key details for the new year-end auction? The upcoming auction presents a final window for individuals and institutions to invest in government debt for 2025. Individual non-competitive bids must be a minimum of KSh 50,000, while competitive bids start at KSh 2 million. The CBK has emphasised that non-competitive bids, where investors accept the average market rate, are limited to a maximum of KSh 50 million per investor account per tenor. This cap does not apply to State Corporations, public universities, and semi-autonomous government agencies (SAGAs). After the auction results are announced, payment details (CSD Account Number, Amount Payable, and payment key) will be available on the investor portal under the transactions tab on Friday, January 2, 2026. The CBK reserves the right to accept or reject bids in part or in full and to allot bids on a pro-rata basis where necessary.
By Elijah Ntongai
