|
By Bedah Mengo NAIROBI (Xinhua)
-- The Kenyan shilling
weakened marginally against the U.S. dollar on Wednesday
as the market awaited a ruling by the Supreme Court on a
poll petition challenging the re-election of President
Uhuru Kenyatta.
The shilling
went down 0.01 percent to close the day at an average of
102.2 to the dollar as the currency showed some
stability.
The Central
Bank of Kenya on Wednesday quoted the shilling at 103.18
down from 103.17 in the previous session.
On the other
hand, commercial banks put the value of the currency at
between 103.15 and 103.35, which was the same range it
had traded in the previous day.
Traders at
the financial institutions noted that the shilling was
waiting for direction from the Supreme Court as the
ruling set for Friday will determine whether it loses or
strengthens.
The apex
court on Wednesday concluded the hearing of the case
after the several parties made their final submissions
and the seven judges took a break to write their
verdict.
Analysts
noted that whatever the direction the shilling takes,
they expect the forex exchange reserves level, currently
at 7.5 billion dollars, an equivalent of 4.96 months of
import cover, to be maintained by expected inflows from
tourism, tea and horticulture exports and diaspora
remittances.
.
SEE ALSO
Kenya’s stocks fall as
presidential poll petition hearing enters day 2
Kenya shilling positive
as top court hears presidential poll petition
By Bedah Mengo NAIROBI, (Xinhua)
-- The Kenya shilling
strengthened on Monday against the U.S. dollar as it
remained positive following the hearing of a petition
challenging the re-election of President Uhuru Kenyatta
at the Supreme Court.
The shilling
gained by 0.14 percent on Monday to stand at an average
of 103.2, up from 103.3 at the end of last week.
The Central
Bank of Kenya quoted the shilling at 103.15, a rise from
103.25 in the previous session last Friday.
Commercial
banks, on the other hand, placed the value of the
currency at an even stronger position of between 103.05
and 103.20, with traders noting the currency was stable
as the Supreme Court case filed by Opposition leader
Raila Odinga goes on.
The shilling
appreciated against the dollar by 0.1 percent last week
to close at 103.3 from 103.4 the previous week.
According to
Cytonn, a Nairobi-based investment firm, the direction
the shilling will take in the following weeks will
mainly be determined by the happenings at the Supreme
Court.
“In coming
weeks, the outcome of the election petition will play a
role in determining the performance of the shilling in
the short-term,” said Cytonn on Monday.
It added
that investors who had bought dollars for speculative
purposes in the run up to elections are also continuing
to sell in the market and buying back the shilling
helping to stabilize it. |
