Nairobi, Sept. 21 -- The proportion of domestic debt held as Treasury bills has dropped to a four-and-half year low as the Treasury shifts preference towards longer term bonds in a bid to lengthen the maturity profile.
Treasury bills accounted for 27.01 percent of domestic debt as at September 4, a level that was last seen on March 4, 2016 when they accounted for 26.8 percent.
On the other hand, the share of the debt in the form of Treasury bonds has increased to 71.29 percent, up from a low of 66.6 percent at the end of December 2019.
The fall in Treasury bills debt aligns to government efforts in lengthening the maturity period to reduce refinancing risk and is also partly attributed to changing preference by investors.
"To manage thi...