Nairobi, July 28 -- Investors splashed Sh181.4 billion into three-month Treasury bills over the past 10 weeks, presenting the National Treasury with a cash crunch headache as debt falls due in Mid-August.

The previous 10 auctions held between March and May saw the 91-day paper raise a cumulative Sh67 billion.

The T-bill auctions have been skewed towards the 91-day paper since mid-May, as investors avoid locking in their money for long periods in the hope that interest rates would rise.

By retaining their exposure for a minimum of three months, investors retain the flexibility of reinvesting their funds at higher rates in case rates keep rising.

Read: Investors demand 9pc return on T-bills despite CBK move

The huge uptake of Treasury ...