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Remittance inflows in August 2023 totalled $354.3 million (Sh52.1 billion) compared to $ 310.5 (Sh45.6 billion) in August 2022, an increase of 14.1 per cent.

According to the latest Central Bank’s latest weekly statistics, the cumulative inflows for the 12 months to August 2023 totalled $4,120 million (Sh605.6 billion), compared to $3,992 million (Sh586.8 billion) in the same period in 2022, which was an increase of 3.2 per cent.

According to CBK, the strong remittances inflows continued to support the current account and the stability of the exchange rate.

“The US remains the largest source of remittances into Kenya, accounting for 54 per cent in August 2023,” the regulator noted in the weekly bulleting covering the week ending September 15.

The inflows are the money used by Kenyans working abroad to support their families and friends back home and are an important source of foreign exchange, which helps to finance imports, pay debts and build reserves in addition to supporting the current account by reducing the trade deficit.

As of September 15, CBK said usable forex reserves remained adequate at Sh1.038 trillion or 3.8 months of import cover and meeting the CBK’s statutory requirement to maintain at least 4 months of import cover.