NAIROBI, Kenya, Feb 16 – Bankers have welcomed the recent rallying of the Kenyan shilling against its American counterpart, saying it points to a positive economic outlook for the country.
Kenya Bankers Association (KBA) Chairperson John Gachora said in a statement yesterday that the strengthening of the local unit indicates resurgences of confidence among investors in Kenya.
“These developments are commendable, and as the KBA fraternity, we salute the Government of Kenya and the Central Bank of Kenya for their economic stewardship through a tumultuous time in the country’s economic history,” Gachora said.
“We also commend our customers and local bank depositors for their confidence and commitment to invest in the local market,” he added.
Gachora, who also dabbles up as NCBA Group MD and CEO, added that the association will continue to engage with the government to foster a more conducive business environment within.
As of yesterday, major banks were buying one dollar for about Sh135 and selling at around Sh148, representing a significant drop from a high of Sh160 per dollar a few days ago.
The dramatic appreciation of the Kenyan currency against the USD came after the state got $1.5 billion to repay the previous Eurobond that matures on June 24, 2024.
The buyback of part of Europe has eased fears among investors, attracting investment into the country.
Likewise, the Board of the International Monetary Fund (IMF) has approved $942.2 million for Kenya under the Extended Fund Facility (EFF) as well as the Extended Credit Facility (ECF).
Immediately, Kenya accessed $624.5 million from the facility.