RUTO’s magic is now working as the Shilling makes a historic gain against the US dollar – Look!

Saturday February 3, 2024 - The Kenyan shilling gained 1.8% against the dollar, marking its fifth consecutive day of growth, a historic high since 2021.

This shift marked the end of a recent free fall, particularly in December 2023, when the shilling fell by 21%. 

This will benefit importers who can now spend less on imports.

The appreciation of the local currency was attributed to the increase in tourism and diaspora remittances.

Kenya's tourism industry is on the verge of achieving a significant milestone, as it is anticipated to experience growth in 2024. 

In 2023, the sector generated Ksh333 billion (2 billion dollars) and it is projected to increase further this year.

Similarly, Kenyans in the diaspora have increased their remittance with most of them now sending more money back home.

President William Ruto’s administration has been relying on Kenyans working abroad as a strategy to stabilize the shilling.

The government has thus been sending more casual laborers to work in different countries across the world.

It was reported that the stability of the shilling has contributed to an increase in export earnings.

In mid-January this year, the shilling dropped to an all-time low after crossing the 160-unit mark against the dollar.

Rising external debt service obligations, coupled with an increase in import bills, have led to the depreciation of the shilling.

Former Prime Minister Raila Odinga was banking on the weakening of the shilling to make his case ad de-campaign Ruto in 2027, but as it looks, he may be forced to go back to the drawing board.

The Kenyan DAILY POST