Authorities in Kenya have successfully bought back a $415 million (about KES1.6 trillion) Eurobond, effectively reducing the country's external obligations in future and offering policymakers a legroom to explore initiatives to finance major infrastructure projects.

In an update on Thursday, the National Treasury announced the results of its deal to purchase its 7.25% notes that were due in 2028 as well as the 8% notes that were to fall due in 2032.

“As at the Expiration Deadline, the Republic [Kenya] had received valid tenders of U.S.$90,512,000 in aggregate principal amount of the 2028 Notes and U.S.$892,119,000 in aggregate principal amount of the 2032 Notes for purchase pursuant to the Offers,” the statement from the Treasury noted in part.

According to the Treasury communique, all the 2028 bonds offered were accepted. What's more, demand for the 2032 notes far exceeded the amount Kenya sought to repurchase.

“With respect to the 2032 notes, the aggregate principal amount of notes validly tendered would result in the applicable maximum purchase amount applicable to such 2032 notes being exceeded.

“The Republic has accepted 2032 notes for purchase subject to proration, with the final proration factor being 0.329471 and the aggregate principal amount of the 2032 notes accepted for purchase being U.S.$324,842,000,” the Treasury explained.

On 19th February 2026, Kenya priced two series of new notes in an aggregate principal amount of $2,250,000,000, the statement said, adding that the “new financing condition was satisfied on the closing date.”

According to Treasury officials, the proceeds from the new bonds will be committed to refinance older, more expensive debt, helping reduce the risk of making large payments in the near term while spreading the country's external obligations over a longer period.

Kenya will pay $1,035 per $1,000 of the 2028 notes and $1,055 per $1,000 of the 2032 notes, plus accrued interest. 

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