Kenya Uses World Bank Funds to Pay Off Kes.72 Billion Eurobond Debt

June 26, 2024

Kenya used part of a $1.2 billion World Bank loan to settle the $560 million (about Kes.72 billion) balance of the 2014 Eurobond.

On Friday, Kenya settled the debt, which was due on June 14, along with the final half-yearly interest payment of $19.25 million owed to bondholders for the six months ending in June 2024.

This settlement officially closed the chapter on Kenya’s first Eurobond, issued in June 2014, which raised a total of $2.75 billion from two tenors: $750 million for five years and $2 billion for ten years.

Kenya repaid the five-year bond in June 2019 and in February this year, the government used proceeds from a new issuance to buy back $1.44 billion worth of notes on the 10-year bond.

Following the buyback, the currency strengthened against the dollar and is now trading at an average of Kes.128.63.

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