CBK opens bidding for new 3-year, 25-year Treasury Bonds as govt seeks budget support
By Kiprono Keileb, December 1, 2025The Central Bank of Kenya (CBK) has announced the opening of bids for two long-term government securities, giving investors a fresh chance to put their money into 30-year and 25-year fixed-coupon Treasury bonds. The bonds, which are now on sale, are aimed at helping the government raise funds for budgetary support.
The prospectus, posted by CBK on its official X platforms on Monday, December 1, 2025, outlines the full terms of the new offer, which runs from to December 3, 2025.
“Prospectus for re-opened 30 and 25-year fixed coupon treasury bonds. Central Bank of Kenya, acting in its capacity as fiscal agent for the Republic of Kenya, invites bids for the above bonds whose terms and conditions are as follows,” the notice reads
The 30-year bond, listed as SDB1/2011/030, carries a 12% coupon rate, while the 25-year bond, FXD1/2021/025, has a coupon rate of 13.9240%. Both will attract a 10% withholding tax.
The prospectus outlined the maturity dates, with the 30-year bond set to mature on January 21, 2041, and the 25-year one maturing on April 9, 2046.
Investors have until Wednesday, December 3, by 10:00 am to submit their bids, with the auction scheduled for the same day and settlement slated for December 8, 2025.
“All successful bidders should obtain the payment key and amount payable from the CBK DhowCSD Investor Portal/App under the transactions tab on Friday, December 5, 2025, for SDB1/2011/030 and FXD1/2021/025,” the notice reads
The minimum bid amount for non-competitive bids is KSh 50,000, while competitive bids must be at least KSh 2 million per CSD account.
“Defaulters may be suspended from subsequent investment in Government Securities,” the notice reads
CBK also reminded bidders that it reserves the right to accept or reject bids without giving reasons.
“Secondary trading in multiples of 50,000.00 commences on Monday, December 8, 2025, for SDB1/2011/030 and FXD1/2021/025,” the notice reads
The notice further explained how the bonds will be handled in case of rediscounting, reopening, and pledging before maturity.
CBK also released the full pricing tables for both bonds, showing clean prices across different yields.
“The bond attracts Accrued Interest (AI) of Ksh 3.9231 per Ksh 100. Example: If quoted yield is 12.0000%, dirty price is the clean price (Ksh 99.9603) plus AI (Ksh 3.9231),” the statement reads
And for the 25-year bond will also attract interest of more than Ksh 1 for every Ksh 100.
“The bond attracts Accrued Interest (AI) of Ksh. 1.3388 per Ksh 100… Example: If quoted yield is 13.9240%, dirty price is the clean price (Ksh 99.9639) plus AI (Ksh 1.3388).” the
With the government under pressure to plug budget gaps, the bond sale is expected to attract significant interest from banks, pension schemes, insurance firms and high-net-worth investors seeking long-term returns.