TABLE-Kenya 25-yr bond rate seen falling to 10.0 pct

NAIROBI, July 21 (Reuters) - The cut-off rate on Kenya's
re-opened 25-year fixed coupon Treasury bond is seen falling to
10.0 percent from 10.458 percent at June's initial auction, a
Reuters poll of 10 analysts said.

Results of the bond auction -- with a coupon rate of 11.25
percent -- are expected later on Wednesday.

The Central Bank has offered 15 billion shillings ($183
million). The 25-year bond's first issue was massively
oversubscribed with bids worth 27.1 billion shillings. The
central bank had been looking for 7.5 billion.

Market players also forecast the average yield on the 91-day
Treasury bill would edge up fractionally to 1.738 percent at
Thursday's sale from 1.728 percent at last week's auction.

Kenyan interest rates have been stuck in a downward spiral
for much of this year as highly liquid banks invest in
government securities. The Monetary Policy Committee's easing
cycle has also helped push commercial rates down.

25-yr bond 91-day T-bill 182-day T-bill

yield % av yield % av yield %
Standard Chartered 9.45 1.60 1.80
Bank of Africa 10.25 1.70 1.80
Barclays 9.75 1.90 2.10
Commercial Bank of 10.15 1.75 1.85
Africa
Equatorial Commercial 9.75 1.55 1.68
Bank
UBA Group 10.05 1.725 1.85
Oriental Bank 10.30 1.80 1.90
Citibank 10.25 1.75 1.90
Kenya Commercial 9.50 1.50 1.75
Bank
CFC Stanbic 9.95 1.75 2.00
MEDIAN 10.0 1.738 1.85
MEAN 9.94 1.70 1.86
(Reporting by Richard Lough; Editing by John Stonestreet)