Kenya shilling hits a new record low against dollar
NAIROBI - The Kenyan shilling fell to a record low of 92.10 against the dollar on Thursday, weighed
down by demand for the US currency from oil importers, traders said.
At 0624 GMT, commercial banks quoted the shilling at 92.00/20 against the dollar, weaker than Wednesday's close of 91.65/75.
"We have seen heavy demand this week. Telecoms were in and we also saw oil guys buying dollars," said Duncan Kinuthia, head of trading at Commercial Bank of Africa.
"Still the shilling is on the back foot. We don't see any factors supporting it."
READ MORE
New KMA directive on seafarer training gets industry backing
Funding woes scuttle key Seafarers Council's work
Developers condemn reports that most city buildings are unsafe
Win for Kenya as AGOA agreement extended for 3 years
Leases, looting and a grounded fleet expose turbulence at KQ
How Kenya can turn technological progress into real development
Kenya wins three-year AGOA extension, securing jobs
When trust is what it takes to make good profit
Unlocking Kenya's next phase of growth through powering SMEs
Why Telegram remains most restricted social media platform globally
Traders said liquidity had improved after the central bank injected 32.9 billion shillings ($359.6 million) through reverse repurchase agreements (repos) in two consecutive sessions earlier this week.
The bank stayed out of the repo market on Wednesday.
"Interest rates are relatively low which make it easier to fund a short shilling position. The fact that liquidity is not so tight is causing the shilling to drift further," said Kinuthia.
(Reuters)