Local currency posts slight gains Wednesday

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The local currency clawed back some losses to the dollar in Wednesday’s session, supported mainly by commodity-related inflows and subdued corporate demand, as mid‑month tax payments kept most players on the sidelines.

The pair closed the day at 3690/3700, easing from an opening level of 3700/3710. Money markets were liquid, according to data from Absa, with overnight and one‑week rates averaging 10% and 10.44%, respectively.

In the debt market, yields from Wednesday’s Treasury bond auction cleared broadly in line with market expectations. The 3‑year, 10‑year, and 20‑year bonds cleared at 13.390%, 15.500%, and 16.098%, respectively, representing increases of 9.5 basis points, 100 basis points, and 60.8 basis points compared with the previous primary auction conducted in February 2026.

A total face value of sh1.034 trillion was accepted, exceeding the amount on offer by 4%.