Madness at the moment.
KCB and Equity printing 40+ and doing +20% gains in a week as the economy limps

There's lot of liquidity around. My bank reduced my fixed depo rate to 6.5%. It made no sense better to take risk on 10% yield on KCB and some capital gains.

There will tears at some point but for now madness is back

@wukan interest rate for a FIXED deposit can be reduced prior to maturity?

Look at T-Bills though you need to open an account at CBK.

First, the fact that the National Treasury is warming up to such an idea exposes a dire state of public finances, which could easily spook investors and probably trigger a sovereign credit ratings downgrade. But most importantly, it amounts to a reverse default by the Kenyan government, and introduces an element of credit risk on all government debt, which, in turn, will mean that financial institutions must now hold capital against any exposures. I don’t think they are ready for such a scenario.

Somehow, the Government will need to print itself out of current crisis, and this is just one side of the coin. The other side of the coin, captured in my article titled “Virus calls for extraordinary monetary rescue initiatives”, lays out a case for the central bank role in bailing out the fiscus to the tune of Sh150 billion.

Section 46 of the Central Bank of Kenya (CBK) Act allows the apex bank to make direct advances to the national government for offsetting fluctuations between receipts from the budgeted revenue and payments of the government.

I wouldn't touch any government paper in KE or elsewhere for a long time to come.

With this pandemic, governments have overplayed their hand and the chickens will come home to roost either in the short, medium or long term - perhaps all three in some cases - and I wouldn't want to be caught anywhere near that mess.

That also implies re-evaluating stock holdings like banks with high exposure to sovereign debt.