The Central Bank of Kenya (CBK) has invited bids from Kenyans for the recently closed infrastructure bond. CBK governor Kamau Thugge speaking at a past event. CBK sought to raise additional KSh 50 billion in the tap sale of Treasury Bonds Issue Nos. IFB1/2018/015 and IFB1/2022/019 Dated 25/08/2025. What is tap sale? The regulator opened the sale from Tuesday, August 19, to Thursday, August 21, 2025. According to Cbonds, a tap sale or bond tap involves borrowers selling more bonds or short-term debt instruments from past issues. CBK reopened the issues after seeking KSh 90 billion from the same bond issue, which closed on Monday, August 18. Why CBK opts for bond tap sale
The banking regulator received KSh 323 billion in bids from the offer but accepted KSh 95 billion. CBK rejected over 200 billion from the oversubscribed infrastructure bond, before reopening the tap sale. In an exclusive interview with TUKO.co.ke, financial advisor Wakamiru Wakamiru explained that a tap sale is offered to allow investors who were unable to bid due to system glitches. “In the case of the reopened 15-year and 19-year infrastructure bond, there was a system glitch. Some people reported bounced payments for allocated bonds in the previous offering of reopened bonds, and the tap sale allows them to invest,” said Wakamiru.
Treasury Cabinet Secretary (CS) John Mbadi speaking at a past event. Photo: John Mbadi. Source: Twitter Wakamiru explained that the National Treasury is determined to slash interest rates, a move that saw CBK reject the KSh 200 billion in the first offer. He noted that had the regulator accepted the bids at the average rate of 12.96%, it would have meant that the government would pay more to investors. “Regarding the strategy to reject bids and then do a tap sale, the Treasury, through the Public Debt Management Office (PDMO), has been very determined to bring interest rates down, which has been working for them, for now,” he said.
By Wycliffe Musalia
