Kenya secures $750 million syndicated loan to pay off earlier loan

Kenya has secured a $750 million syndicated loan for seven years from the Trade Development Bank (TDB) to pay off creditors in another two-year syndicated loan that was extended last year, two banking sources told Reuters on Tuesday.

The government was also set to issue a $1.5 billion Eurobond for 10 years by the first week of March, to take advantage of high demand for new issues, said one of the sources.

Officials at the ministry of finance did not respond to a request for confirmation of the information from Reuters. TDB was also not immediately available for a comment.

Henry Rotich, the finance minister, said last November a six-month extension of the syndicated facility had been agreed with 90 percent of investors. Funds raised from a new Eurobond issue could be used to pay off the outstanding amount, he said.

-Reuters-

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