Kenya cancels Eurobond sale, blames surging yields - local media

Asia Business Daily Co

10/06/2022 08:37

NAIROBI, June 10 (Reuters) - Kenya has cancelled the sale of
a 115 billion shilling ($982 million) Eurobond and will instead
borrow from commercial banks after the Russia-Ukraine war caused
yields to surge on international markets, local media reported
on Friday.
    Kenya said in January it would issue a new sovereign bond
for the 2021/22 (July-June) financial year to partly plug a 7.5%
budget deficit.  urn:newsml:reuters.com:*:nL8N2U01LP
    Finance Minister Ukur Yatani told the Daily Nation and
Business Daily newspapers the bond was no longer feasible,
blaming the conflict in Ukraine for pushing up interest rates
and causing yields on Kenya's previous Eurobond to double to
12%.    
    ($1 = 117.0500 Kenyan shillings)

 (Reporting by Hereward Holland
Editing by James Macharia Chege)
 ((hereward.holland@thomsonreuters.com; +254 20 499 1232;
Reuters Messaging:
hereward.holland.thomsonreuters.com@reuters.net))