Kenya’s foreign exchange reserves rose to the highest level in nearly two months, supported by increased foreign currency inflows, according to data released by the Central Bank. The reserves climbed to $7,425 million at the end of last week, compared to $7,343 million the week before.
The foreign currency reserves have dwindled in recent months, dropping by $325 million since the start of the year. Nonetheless, the reserves are set to receive a boost from the $2.3 billion IMF loan, to be disbursed over a period of three years.
The Kenya Shilling strengthened against major international and regional currencies in the past week, exchanging at KSh 108.24 per US dollar on April 8, compared to KSh 109.35 per US dollar on April 1.
Global economic outlook improved. IMF projects that the global economy will grow at 6% in 2021, from a contraction of 3.3% in 2020. International oil prices fell during the week that ended on 8th April due to new lockdowns in some developed economies and rising covid19 infections.
Also read:
Kenya Shilling Strengthens on Impending IMF Disbursements
Kenya’s Forex Reserves Fall by $1 Billion to $7.75 Billion in 2020
