Eurobond sale window closing

KENYA needs to act swiftly if it is to sell eurobonds by year end without a jump in borrowing costs, according to the International Monetary Fund (IMF). The potential for a US rate increase and looming elections have narrowed the window for a second international dollar bond issue, IMF country representative Armando Morales said. Kenya should “get all the financing they need well ahead of elections” due in a year. The Kenyan Treasury should be prepared to act on the sale “as soon as the markets allow”. Kenya plans to borrow 462 billion shillings (R65bn) from external lenders this fiscal year to help plug a 9.3 percent budget deficit. The country raised $2.82bn (R40.55bn) in a debut eurobond sale in 2014, and might issue new debt if an opportunity arose, the Treasury said in June. – Bloomberg