NAIROBI: Money sent home by Kenyans living abroad rose by 3.2 percent in the month of August, to $132.9 million, from the same month last year, the central bank said on Monday.
Known as remittances, the cash is a major source of foreign exchange for east Africa’s biggest economy alongside tea, horticulture and tourism. Kenyans abroad typically send money to help their families and to invest in projects like real estate.
The shilling has weakened steadily against the dollar in the last year – losing 14 percent – due to the strength of the greenback and a drop in tourism in Kenya following a spate of deadly attacks by Somali Islamists al Shabaab. Remittances from Kenyans abroad helped slow down the decline of the local currency.
Remittances from Kenyans in North America grew by more than 4 percent, to $64.2 million, in August compared to the same month a year ago, accounting for close to half of the total amount sent to the African nation, central bank data showed.
Remittances have been growing at a fast pace every year since 2011 when they stood at $891 million, the data from the central bank showed. Kenyans living abroad sent $1.43 billion to Kenya in 2014, setting a new annual record.
