Kenya Shilling now 0.3 units shy to hit 116 level against US Dollar

The Kenya Shilling has increased its vulnerability pace against the U.S Dollar, indicating a piled pressure on common commodity prices for Kenyans.

Data from the Central Bank of Kenya (CBK) shows the shilling is now exchanging at its lowest record of Ksh.115.7 against per dollar, with only o.3 units remaining to attain 116 level.

This has been fueled by the economic fallout over the continued war between Ukraine and Russia, with the latter being the second-largest producer of crude oil globally.

The shilling is speculated to weaken to its lowest even further because Indonesia is imposing a ban on palm oil export to balance its domestic consumption.

Indonesia which produces more than half of the world’s palm oil makes it the largest exporter of the commodity.

The depreciation of the Kenyan Shilling implies a higher cost in Shillings to finance imports.

A weak Shilling also discourages the final consumption of luxury imports as it promotes domestic investments that lead to job creation.

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Lawrence Baraza

Lawrence Baraza is a dynamic journalist currently overseeing content at Metropol TV Digital. With a keen focus on business news and analytics, Lawrence guides the platform in delivering insightful, data-driven content that empowers its audience to make informed decisions. Lawrence’s commitment to quality and his ability to anticipate market trends make him a key figure in the digital media landscape. His work continues to shape the way business news is consumed, making a significant impact in the field.

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