The Central Bank of Kenya’s weekly bulletin dated 18 September 2026 shows Treasury bonds now account for Ksh6.415 trillion, or 83.02 percent of the total domestic debt stock, while Treasury bills stand at Ksh1.198 trillion and the government’s overdraft at the central bank is Ksh13.91 billion.
Strong investor appetite drove the latest Treasury bill auction on 17 September, where bids totalling Ksh42.7 billion were received against an advertised amount of Ksh28 billion – a performance rate of 152.6 percent. The 182‑day and 364‑day bill rates fell during the period, while the 91‑day rate edged up slightly.
Demand was also robust for longer‑term debt. Re‑opened 20‑year and 30‑year Treasury bonds offered on 16 September attracted Ksh81.4 billion in bids against a target of Ksh60 billion, yielding a performance rate of 135.7 percent.
Financial corporations remain the dominant holders of government securities, owning nearly 80 percent of the stock. Commercial banks hold about 34.4 percent, with pension funds and insurance companies holding the remainder, linking domestic borrowing closely to the health of Kenya’s banking, pension and insurance sectors.
Remittance inflows rose 6 percent year‑on‑year to Ksh58.6 billion in August 2026, providing a vital source of foreign exchange, although cumulative remittances for the 12 months to August fell slightly to Ksh649.8 billion from Ksh658.4 billion a year earlier.
The data underscore the government’s continued reliance on domestic securities to meet budgetary needs, a strategy that keeps borrowing costs tied to market demand and the performance of Kenya’s financial institutions.