Kenya raises $1.5B in fresh Eurobond

Kenya has secured $1.5 billion (Ksh 193.5b) from international creditors through a new Eurobond issuance at a rate of 9.5pc, treasury has said.

National Treasury and Economic Planning Cabinet Secretary John Mbadi says the new bond which is part of the government’s Liability Management Strategy will mature in 2036 and is expected to finance the buyback of existing Eurobond which mature in 2027.

“Kenya received strong demand, with a high-quality order book exceeding $5 billion. Proceeeds from the 2036 Eurobond will be used to refinance existing external debt including the planned buyback of Kenya’s $900 million (KSH 116b) Eurobond maturing in 20227,” said Mbadi.

According to Mbadi, the final amount for the buyback will be determined based on demand in the ongoing Tender Offer with result expected on March 3, 2025.