Kenya’s current account deficit in the 12 months to August remained at 4.7% of GDP, similar to July’s current account deficit. This reflected low oil imports, increased exports of tea and horticulture, and improved diaspora remittances.
Diaspora remittances reached $274.1 million in August, a minor decline from July’s diaspora remittances of $277 million. Remittances in the first eight months of 2020 were 6.3% higher than in the same period in 2019.
According to data from the Central Bank of Kenya, foreign exchange reserves decreased to 8.63$ billion by 24th September from $8.84 billion a month earlier. The forex reserves provide 5.23 months of imports cover, compared with 5.36 months of imports cover previously.
The value of interbank transactions during the period jumped to KSh 13.3 billion from KSh 11.3 billion.
