Fahamisha Investing Newsletter
Central Bank of Kenya has reopened 2 fixed-coupon (FXD) Treasury Bonds in November 2025. Both are FXD (Fixed Coupon, Taxable) bonds (not IFB – Infrastructure bonds) offering stable semi-annual income for investors seeking consistent returns.
FXD1/2012/020
- Maturity date: 1 November 2032 (7 years remaining before principal is paid back)
- Coupon interest rate: 12.00% per year before tax, paid in May and November
- After-tax return: 10.80 % per year after tax (interest received after 10% withholding tax is deducted)
FXD1/2022/015
- Maturity date: 6 April 2037 (11.4 years remaining before principal is paid back)
- Coupon interest rate: 13.942 % per year before tax, paid in April and October
- After-tax return: 12.5478 % per year after tax (interest received after 10 % withholding tax is deducted)
Example: How much do you earn if you invest sh. 1 Million?
| Bond | FXD1/2012/020 | FXD1/2022/015 |
| Years to Maturity remaining | 7 | 11.4 |
| Invested Amount | Ksh 1,000,000 | Ksh 1,000,000 |
| Coupon Interest rate (before tax) per year | 12.00% | 13.9420% |
| Interest Amount (before tax) per year | Ksh 120,000 | Ksh 139,420 |
| Withholding tax (10%) | -Ksh12,000 | -Ksh13,942 |
| Interest Amount (AFTER tax) per year | Ksh 108,000 | Ksh 125,478 |
| Effective interest rate AFTER TAX | 10.8000% | 12.5478% |
| Interest Amount (AFTER tax) – every 6 months | Ksh 54,000 | Ksh 62,739 |
| Months when interest is paid | May, November | April, October |
Deadlines
You can place your bid directly on the DhowCSD Portal and complete payment through your bank.
| Date | Time | |
| Deadline to place bid on DhowCSD portal | Wednesday, 5 November 2025 | 10:00 a.m. |
| Deadline to make payment | Monday, 10 November 2025 | 2:00 p.m. |
If you’d like help reviewing your options or placing a bid, message us on +254 792 68 69 08 or email ask@fahamisha.com.
Notes on taxation of bonds:
- Withholding Tax rates
- Interest on FXD bonds is taxed at 10% if the bond had over 10 years to maturity when it was first issued (e.g. FXD1/2012/020)
- If the bond had less than 10 years to maturity when it was first issued, Interest is taxed at 15% (e.g. FXD1/2024/003)
- Calculating return after tax
- If a bond pays 12% interest and tax is 10%, what does an investor actually earn after tax?
- Assume you invest sh. 100,000
- Interest earned before tax is 12% * 100,000 = 12,000 per year
- The tax is calculated on the interest amount:
- 10% tax rate * 12,000 interest = 1,200 tax
- So the net interest earned is:
- 12,000 interest before tax – 1,200 tax = 10,800 interest after tax
- If a bond pays 12% interest and tax is 10%, what does an investor actually earn after tax?
Past bond issues
October 2025 FXD Treasury Bonds →
| October 2025 issue (Reopened bonds) | FXD1/2018/015 | FXD1/2021/020 |
| Years to maturity | 7.7 years (May 2033) | 15.9 years (July 2041) |
| Coupon Interest rate (before tax) per year | 12.65% | 13.444% |
| Coupon Interest rate (after tax) per year | 11.385% | 12.0996% |
| Months of coupon payment | May, November | February, August |
September 2025 FXD Treasury Bonds →
| October 2025 (Reopened bonds) | FXD1/2018/020 | FXD1/2022/025 | SDB1/2011/030 |
| Years to maturity | 12.5 years (March 2038) | 22.2 years (Sep 2047) | 15.5 years (Jan 2041) |
| Coupon Interest rate (before tax) per year | 13.2% | 14.188% | 12% |
| Coupon Interest rate (after tax) per year | 11.88% | 12.7692% | 10.8% |
| Months of coupon payment | March, September | April, October | February, August |
August 2025 IFBs – Infrastructure Bonds →
| August 2025 issue (Reopened bonds) | IFB1/2018/015 | IFB1/2022/019 |
| Years to maturity | 7.5 years (Jan 2033) | 15.6 years (Jan 2041) |
| Coupon Interest rate (before tax) per year | 12.5% | 12.965% |
| Coupon Interest rate (after tax) per year | 12.5% | 12.965% |
| Months of coupon payment | January, July | February, August |
About Fahamisha Investing (Kenya)
Fahamisha is a Kenya-based financial planning practice that helps professionals earn passive income from their investments.
At Fahamisha, we help professionals like you to:
- Build investment portfolios earning passive income every month
- Create and implement personal investment strategies
- Access the secondary market to buy Infrastructure bonds (IFBs) that pay 12-14% interest per year, tax free.
Fahamisha is led by Annette Mumbi, CFA, an investment advisor with 10+ years’ experience. Follow her on LinkedIn via this link
If you’d like guidance on building your passive income portfolio, call or message +254 792 68 69 08, or visit www.fahamisha.com.
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One response to “November 2025 Treasury Bonds in Kenya – Returns and Deadlines”
[…] last week’s auction closed (see here), Central Bank of Kenya has reopened 2 additional fixed-coupon (FXD) Treasury Bonds […]
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