Browsing: Depreciation of Kenyan Shilling

• Inflation in Kenya slightly increased to 6.9 per cent in January after declining for two consecutive months in November and December.
• Official statistics show that increases in food, energy, and transportation costs, which together account for about 57 per cent of household budgets, drove up inflation in Kenya.
• Between December 2023 and January 2024, the prices of Irish potatoes, carrots, oranges, and cabbages increased.

In January, inflation in Kenya increased marginally to 6.9 per cent, attributed to a rise in food prices. This comes after a consecutive decline in inflation for two months in November and December, easing below the statutory level to 7.3 per cent in July.

November recorded 6.8 per cent, decreasing to 6.6 per cent in December. The latest statistics from the Kenya National Bureau of Statistics (KNBS) indicate that consumers in Kenya will need to dig deeper into their pockets to buy basic food items.

Inflation

• Kenyans in the diaspora increased the money they sent back home for the 12 months ending in December 2023 by $0.16 billion, reaching $4.19 billion.
• Inflows for December 2023 increased by 5 percent to $372.6 million from $355.0 million in November.
• December marked the second month, after July, to record the highest amount sent back home by Kenyans during the year.

Kenyans living and working abroad increased the money they sent back home for the 12 months ending in December 2023 by $0.16 billion, reaching $4.19 billion. This marked a 4.0 percent increase from the $4.03 billion remitted in 2022.

The rise in remittances could be attributed to the weakening shilling, as projected by Western Union. In its inaugural Global Money Transfer Index in March of the previous year, the corporation had anticipated an upswing in remittances, driven by the weakening shilling, which has now surpassed the 160 mark against …

• East Africa is set to outshine other regions in 2024 growth with Rwanda, Kenya, Tanzania and Uganda posting impressive numbers.
• This year, Africa’s overall growth is forecasted at 4 per cent, a notable increase from 3.3 per cent in 2023.
• These are findings of a new Africa 2024 outlook report by Stears, an economic analysis and data-driven insights provider.

The prevailing economic woes in Kenya are projected to continue in 2024 with persistent currency depreciation and inflationary pressures taking toll on individuals and businesses. This is according to a new Africa 2024 Outlook report by Stears, a Nigeria-based economic analysis and data-driven insights company.

Already, the latest statistics show that the Kenyan Shilling has already breached the 160 mark against the US dollar.

Stears’ 2024 Outlook delves into key African countries, specifically Kenya and the continent’s powerhouse Nigeria, projecting persisting economic challenges for both economies.

he macroeconomic analysis …