ALSO READ: Treasury CS stops new projectsThis is after shilling depreciated 0.1 per cent to cross the 103 mark expanding the country’s foreign debt by Sh2.5 trillion. The shilling defied Treasury to move to float a Sh50 billion bond that was expected to encourage dollar flows since an infrastructure bond is usually tax-free and thus attractive to foreigners. The State resisted pressure to increase the price of the two-decade bond and decided to take half of the money on the table. ALSO READ: Why public varsities risk closure in 2019CBK wanted to raise Sh50 billion on the 20-year bond but has only accepted Sh27.5 billion. The State had offered a coupon rate of 11.9 per cent but market forces pushed it to 12.2 per cent.

Source: Standard Digital November 16, 2018 06:49 UTC