Kenya: Kenyan shilling hits over three-year low in May
May 20, 2015
In May, the Kenyan shilling weakened further against the U.S. dollar, continuing the depreciating trend that has been in place since January 2014. On 20 May, the Kenyan shilling (KES) traded at 96.6 KES per USD, which marked its lowest value since November 2011. The figure was 2.9% weaker than on the same day of the previous month, and 10.0% weaker on an annual basis.
The depreciation of the Kenyan shilling mainly reflected declining revenues from tourism and horticulture, main sources of foreign exchange, as well as higher imports. Moreover, demand for U.S. dollars from local enterprises and importers grew recently to pay annual dividends to shareholders abroad.