Skip to main content

Kenya’s Bid Bond Talks Continue in The US And UK This Week Despite Attempts to Look East

Kenya is about to issue its first international bond, bringing a two-year odyssey to an end amid renewed appetite for emerging- and frontier-market assets—and mounting concerns over a binge of African borrowing. Officials from East Africa’s biggest economy are set to start meeting investors this week about the debut dollar bond sale. BarclaysBARC.LN -0.51%, J.P. Morgan ChaseJPM +0.14%, Standard BankSBK.JO +1.07% and QNB Capital, a unit of Qatar National Bank, are arranging the meetings, which will take place in the U.K. and the U.S.between June 5 and June 13, according to a person familiar with the matter. The Kenyan government hopes to raise about $1.5 billion in its first dollar-denominated bond. If it succeeds, it will be one of the biggest dollar bonds ever sold by an African country. But the sale has been delayed a number of times because of a 10-year-old public-procurement scandal. The Kenyan government recently lost a court case relating to a contested 1990s procurement contract and had to pay $16 million to entities that won the contract—an obstacle it said it needed to clear before issuing a bond. The payment, made in May, caused a furor in Kenya: the parliament didn’t approve it, but President Uhuru Kenyatta went ahead with it by presidential decree. The government needs to issue the bond before the end of this month to cover spending it has already committed to. Investors seem unperturbed. “The timing is really good for Kenya,” said Kevin Daly, a fund manager at Aberdeen Asset Management, which oversees about $541 billion of assets. Demand should be healthy, Mr. Daly said, but for many investors price will be key. “I’m not going to buy this in the 6.5% range. If we’re talking in the low 7%-area, maybe there would be some value,” he added.

Comments

Popular posts from this blog

MOURNING THE ONLY PRINCIPAL I KNEW

By Dr.Paul Bundi Karau I arrived at Kanyakine High School on 18th February 1999 a small village boy. I had never been to a boarding school, and certainly this is the furthest from home I had ever gone. The boys who were assigned to escort me to Mungania dorm looked at my stunted height and loudly wondered how I would survive in Beast's school.  "Who is Beast?" I asked in bewilderment. "You will know." Musyoki answered curtly. It didn't take me long to know who Beast was. The following day, as the 10 o'clock tea was being served, I heard a commotion, with boys leaving their tea and running helter-skelter towards the classrooms.  I was a fresh mono, so I didn't know what was happening. I ran along the pavement, and came upon a mighty man, who appeared to be adjusting his trousers. He yanked his belt and thrust one whip towards me. I had encountered Beast himself. He was tall, imposing, burly and endowed with a thunderous voice that could re...

Political Tumbocrats

*Political Tumbocrats* A political tumbocrat is a person who hangs around elected leaders to satisfy her/his personal greed. Tumbocrats sees a leader as a demigod whom they worship. The r bootlickers and sycophants of the highest order. Their work is to defend leaders and cheat public that something is happening. A tumbocrat has no values or morals. A tumbocrat is not interested with common good but personal good. A tumbocrat has no vision but appetite for being near high table of power  and feeding on crumbs.   Tumbocrats are greatest obstacles to development in our country. They protect the corrupt and shield the bad governance in so far as they get something to fill their tumbos. They are good and articulate in arguments but they lack the moral authority because they don't value truth. Every political leader is surrounded by tumbocrats. They are the noise makers in social media and around leaders defending them. They peddle lies en create propagandas . They confuse the publ...