Kenya to buy back up to $500m of Eurobonds, funded by new US$ issuance

On 14–15 July 2026 Kenya announced plans to repurchase up to $500 million of outstanding Eurobonds during the fiscal year ending June 2027, to be financed by a simultaneous new US dollar‑denominated bond issuance; the proposal is in the Treasury’s Medium‑Term Debt Management Strategy and is not yet final.

If executed, the buyback would remove near‑term Eurobond supply from the secondary market and lengthen Kenya’s external maturity profile by replacing repurchased shorter bonds with the tenor of new issuance. The immediate impact depends on which maturities are repurchased, investor participation, and the tenor/coupon of the new dollar bond; spreads could tighten on repurchased lines while the curve could steepen or flatten depending on issuance terms. This is liability‑management, not debt relief, and preserves rollover risk in the tenor chosen for reissuance.

Treasury to finalise transaction size, target maturities and formally approve issuance timetable.