The National Treasury has for the second time this year raided the domestic market with plans to borrow 50 billion shillings.
In January, treasury borrowed another 60 billion shillings through treasury bills and bonds.
In the 2018/19 financial year the National Treasury plans to borrow 632 billion shillings.
Last week, treasury’s director general of budget, fiscal and economic affairs Geoffrey Mwau allayed fears of a debt crisis, saying the trend is persistent with short-and long-term planning.
Mwau said in the 2019/2020 fiscal year, net domestic borrowing is expected to come down to 271.4 billion shillings, with foreign borrowing coming to 306.5 billion shillings.
Last week the Treasury released its 2019 medium term debt management strategy, saying there will be a cap on commercial loans at four percent of the total external debt.
It further proposed gross external debt financing of 38 percent against 62 percent gross domestic financing.
The budget policy statement before parliament projects that Kenya’s total debt portfolio is expected to reach 5.7 trillion shillings raising more concerns over its sustainability.
In a newspaper advert, treasury is offering 50 billion shillings through treasury bills and bonds with a maturing tenor of 5 and ten years.
Last month treasury borrowed another 60 billion shillings which received bids worth 120 billion shillings.
Pension funds and commercial banks are the biggest lender to the government with the two accounting for more than 70 percent of total loans to the government.
The minimum investible amount is 50 thousand shillings with the maximum capped at 100 thousand shillings for individual investors.