The National Treasury has moved to assure both investors and the nation that it will meet its obligations regarding the inaugural Eurobond set to mature in June.
Dr. Chris Kiptoo, Principal Secretary of the National Treasury, emphasized that the government is actively exploring various options to safeguard Kenya’s credit rating in the international market and keep it appealing to investors.
As the deadline of June 1 approaches, the Treasury is facing a time crunch to finalize preparations for what is anticipated to be a pivotal moment for the country’s economy.
Economic analysts highlight that the repayment of the Eurobond could significantly impact Kenya’s already struggling economy.
Under the mounting pressure, the National Treasury is contemplating a return to the Eurobond market as a strategic move to alleviate the burden of a potential bullet repayment, which could result in the country paying over Ksh.300 billion for its inaugural issuance.
“We will settle the Eurobond…for us to settle the Eurobond, we went out for tenders to get lead joint managers and a legal counsel to guide us on how to deal with the matters. We now have lead counsels working with our teams. I think today they are completing the due diligence and are completing documentation in readiness for going to market if they determine that it is the right timing and there is appetite for us to go to the markets,” Dr. Kiptoo stated.
