Central Bank of Kenya (CBK) Governor Kamau Thugge stated that increasing Treasury bill yields will not hinder monetary policy transmission to commercial bank lending rates.

• The Central Bank Rate (CBR) is currently at 8.75 percent, while the 91-day Treasury bill yield was 8.782 percent on August 10.
• Key players include the Central Bank of Kenya (CBK) and commercial banks.
• The convergence of the Kenya Shilling Overnight Interbank Average Rate (KESONIA) with the CBR strengthens the link between the policy rate and commercial bank pricing.