Foreign investors have given President William Ruto a nod for another Eurobond after African countries were locked out of the international market. He added that Kenya's interest rates were initially high compared to the United States but have significantly dropped, making it cheaper for Kenya to access a new Eurobond, which is typically denominated in US Dollars (USD). This is a positive sign for Kenya's economy as investors are becoming more confident in Kenya's ability to repay its debt. In June 2024, Kenya's latest Eurobond will have matured, compelling the country to pay the Ksh317 billion. Ethiopia, one of the countries that defaulted on paying the interest fee on its Ksh159 billion Eurobond, caused international investors to be worried about the heightened risk of injecting capital into projects in African countries.

Source: Daily Nation January 12, 2024 15:23 UTC