Nairobi, May 5 -- I&M Bank Kenya will use part of the proceeds from its May corporate bond to retire dollar denominated debt to the tune of $50 million (Sh6.5 billion) and mitigate the firm's exposure to elevated risks stemming from carrying hard currency debt on its balance sheet.

The bank is in the market with a five-year year bond issuance priced at 12.2 percent seeking to raise Sh10 billion with a green shoe option of up to 30 percent, indicating that the lender could raise as much as Sh13 billion depending on investor appetite.

I&M Bank Kenya's leaning towards local currency debt comes at a time when the evolving macroeconomic environment is being characterised by growing pressure on the country's foreign exchange position owing to...