International Investors Gain Direct Access to Kenya’s Government Securities Through CBK-Clearstream Link

International investors will now be able to invest directly in Kenyan government securities through the Central Securities Depository (DhowCSD) following a new partnership between the Central Bank of Kenya (CBK) and global securities settlement firm Clearstream.

In a statement, CBK said the new connection will enable institutional investors to access Kenya’s domestic debt market through a single omnibus account structure covering Treasury bills, government bonds and infrastructure bonds.

The Central Bank described the development as a major milestone in strengthening Kenya’s financial markets by expanding access to local debt instruments for international investors.

“This is a significant milestone in developing Kenya’s financial markets. The link is expected to deepen liquidity, broaden the investor base and enhance the resilience of the domestic debt market,” CBK said.

Clearstream, a subsidiary of the Deutsche Börse Group, operates one of the world’s largest post-trade settlement networks, providing securities settlement and custody services across global financial markets.

CBK said the partnership is expected to improve the efficiency of Kenya’s debt market, attract a wider pool of foreign institutional investors and strengthen the country’s integration into the global financial system.

“This development underscores our commitment to strengthening and modernising financial market infrastructure, fostering greater integration with the global financial system and advancing Kenya’s position as one of the leading financial centres in Africa,” the bank said.

The regulator noted that the new arrangement will enhance liquidity in the domestic debt market while supporting the government’s efforts to diversify its investor base.

The CBK-Clearstream connection marks Clearstream’s 60th domestic market link globally and only its second in Africa after South Africa, underscoring Kenya’s growing importance as a regional financial hub.