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How to Buy Treasury Bills in Kenya — Complete Guide
Updated April 2026 — HelaBora
What are Treasury Bills?
Treasury bills (T-bills) are short-term government securities issued weekly by the Central Bank of Kenya. They are considered the safest investment in Kenya — backed by the full faith of the Kenyan government.
Key features: - Terms: 91 days, 182 days, or 364 days - Current rates (April 2026): 91-day 7.42%, 182-day 7.83%, 364-day 8.27% - Minimum investment: KES 100,000 - Tax: 15% withholding tax on interest - Risk: Essentially zero (government-backed) - Auctioned every Thursday by CBK
How to Buy Treasury Bills
Step 1: Open a DhowCSD Account The Central Depository System (DhowCSD) is where your government securities are held. - Visit: dhow.cds.centralbank.go.ke - You need: National ID, KRA PIN, bank account details - Processing time: 2-5 business days
Step 2: Fund Your Account Transfer at least KES 100,000 to your DhowCSD-linked bank account.
Step 3: Place Your Bid - Log into DhowCSD portal - Select the T-bill auction (published weekly) - Choose competitive (you set the rate) or non-competitive (accept the average rate) - For beginners: choose **non-competitive** — you're guaranteed allocation at the average rate
Step 4: Wait for Allocation - Auction results published same day (Thursday) - T-bill amount deducted from your bank account - Maturity: automatically credited to your bank on maturity date
T-Bills vs Money Market Funds
| Feature | Treasury Bills | Money Market Funds |
|---|---|---|
| Returns | 7-8% p.a. | 8-11% p.a. |
| Minimum | KES 100,000 | KES 100-5,000 |
| Liquidity | Lock-in until maturity | Withdraw anytime (1-2 days) |
| Risk | Government-backed (lowest) | Very low (but not zero) |
| Tax | 15% WHT | 15% WHT |
| Access | DhowCSD portal | Mobile app / M-Pesa |
| Best for | Large lump sums, fixed timeline | Regular savings, flexible access |
Verdict: MMFs offer better returns with more flexibility. T-bills are for investors who want the absolute lowest risk and don't need liquidity.
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Frequently Asked Questions
What is the minimum investment for Treasury Bills in Kenya?
The minimum investment for Treasury Bills is KES 100,000. Additional investments must be in multiples of KES 50,000.
How do I buy Treasury Bills in Kenya?
Open a DhowCSD account at dhow.cds.centralbank.go.ke, fund your linked bank account, then bid on weekly Thursday auctions. Choose non-competitive bidding if you're a beginner.
Are Treasury Bills better than money market funds?
T-bills are safer (government-backed) but offer lower returns (7-8% vs 8-11% for MMFs) and require KES 100,000 minimum with no early withdrawal. MMFs are better for most retail investors.