NAIROBI, March 16 (Xinhua) -- The Central Bank of Kenya (CBK) will conduct auctions for all Treasury bills on a single day as it seeks to normalize uptake of the securities by investors.
CBK on Thursday announced that the auctions for 364-day and 91-day Treasury bills would be held every Thursday from next week.
Initially, the CBK has been conducting auctions for 364-day and 182-day bills every Wednesday and the 91-day bill auction every Thursday.
However, it recently suspended the auction of the 182-day bill following the paper's over performance by recording an up to 400-percent subscription.
The six-month security, before its suspension, was investors' favorite as it offered higher returns on a risk-adjusted basis compared to the 364-day, as their rates almost converged at 10.5 and 10.9 percent respectively.
The suspension, in its third week, was to help CBK avoid heavy maturities from the paper, and it has helped push investors to bid on the 3-month and 1-year papers.
Analysts noted that the move to sell all the Treasury bills on the same day would help eliminate cases of investors ignoring auctions of some papers in favor of another.
