Kenya shilling 'in trouble' as tourism earnings decline

A lone tourists walk in an almost empty hotel at the Bamburi Beach Hotel after many tourists were evacuated back to their country after they issued advisories in fear of terrorist attacks.

NAIROBI: Kenyans are likely to spend more on the importation of refined petroleum, packaged medicament and vehicles as the shilling weakens against world’s major currencies.

In the past week, the local currency has come under intense pressure, mainly against the dollar, following the decline in tourist arrivals. On Thursday, the shilling traded 88.30/40 against the green-back down from Wednesday’s 88.20/30. However, as at yesterday morning, the pressure mounted further as the exchange rate stood at 88.30/35 against the US Dollar.