The National Treasury has dismissed claims of delayed Treasury bond interest payments, confirming that all obligations for May and June 2025 were fully settled within the government’s debt servicing schedule.
In a statement issued on Tuesday, the Ministry said the payments totaling Sh53.56 billion were made on time despite concerns raised in a recent report by the Controller of Budget.
The Treasury explained that while the transactions may have appeared pending in the Exchequer reporting system, they were fully financed and cleared through the government’s overdraft facility at the Central Bank of Kenya (CBK), which is a standard liquidity management tool.
According to the Ministry, the use of the overdraft facility is a lawful and established mechanism for managing short-term cash flow needs within government operations.
Officials further emphasized that at no point were the bond obligations in arrears, noting that no complaints or disruptions were reported by investors or market participants.
Principal Secretary to the Treasury Chris Kiptoo said the government remains committed to fiscal discipline, transparency, and timely settlement of all debt obligations.
The Treasury added that the clarification is meant to reassure investors and stakeholders amid heightened scrutiny of public finances and debt management practices in the country.
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