The Central Bank of Kenya (CBK) has reported a slight drop in the country’s usable foreign exchange reserves. Central Bank governor Kamau Thugge during a past meeting. Picture of Kenyan bank notes used for illustration. In the latest bulletin, CBK said that the available reserves are, however, sufficient and meet the statutory requirement to maintain enough reserves to cover at least four months of imports.
“The usable foreign exchange reserves remained adequate at USD 9,007 million (KSh 1.17 trillion) (4.6 months of import cover) as of November 28. This meets the CBK’s statutory requirement to endeavour to maintain at least 4 months of import cover,” read the CBK report. This indicated a slight drop of about KSh 17.7 billion ($137 million) in reserves following weeks of consistent growth in recent months.
Usable Foreign Exchange Reserves (USD Million). In October, CBK governor Kamau Thugge explained that the growth of forex reserves was accounted for by the purchase of foreign currencies from the market to moderate volatility of exchange rates, remittances, and the recent loans from the IMF. What is the value of Kenya shilling? CBK further reported that in the week that ended on November 29, the shilling remained stable against major global and regional currencies.
The exchange rate against the US dollar averaged KSh 129.59, showing minimal day-to-day fluctuations. Similarly, the sterling pound traded at an average of KSh 163.35, while the euro maintained an average rate of KSh 136.11 throughout the week. The Japanese yen’s exchange rate averaged KSh 84.61, with the highest value of KSh 85.56 recorded on November 28.
Regional currencies, including the Ugandan and Tanzanian shillings, traded at average rates of KSh 28.55 and KSh 20.45, respectively, showing minor variations. The Rwandan franc averaged KSh 10.56, while the Burundi franc remained stable at an average of KSh 22.80.
by Elijah Ntongai
