Wednesday, February 14, 2024 - Kiharu Member of Parliament, Ndindi Nyoro, has spoken following the strengthening of the Kenyan Shilling against the United States dollar.
The
shilling strengthened as much as 151.50/152.50 to the dollar, a level it last
traded at in late November, compared with Tuesday’s close of 155.50/156.50,
LSEG data showed.
Speaking
on Wednesday, Nyoro, who is a close ally of President William Ruto, said the
Kenyan Shilling resilience signifies confidence in the nation's economy.
“Ruto
said he has a solution to the dollar problem. Right now the shilling is ruling
over the dollar. We have seen the market in the last two days,” Nyoro said.
Among
the key drivers behind this gain is the injection of new funding from the
International Monetary Fund (IMF).
According
to economic analyst and expert Ndiritu Muriithi, this infusion of capital has
provided much-needed stability to the shilling.
Another
contributing factor is the recent buyback of the 2014 Eurobond.
On
Tuesday, Kenya repurchased a portion of its dollar-denominated debt,
effectively minimising the outstanding obligations.
This has
downed on the dollar hegemony, as investors begin to exhume confidence in the
local market.
“Both
will ensure enough resources to repay the Eurobond now due,” said Ndiritu.
The Kenyan DAILY POST
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