Kenyans living abroad sent home 40.6 billion shillings in October, a 4.6 per cent increase compared to the 38.8 billion shillings sent in September.
The cumulative inflows for the 12 months to October totalled USD 3,996 million, compared to USD 3,605 million in October 2021, an increase of 10.9 per cent.
According to the Central Bank of Kenya (CBK), the US remains the largest source of remittances to Kenya, accounting for 57.6 per cent.
Remittances represent an important source of foreign exchange and support many livelihoods.
This year, the remittances and rebounding exports have been critical in keeping Kenya’s current account deficit stable, with the gap at 5.3 per cent of gross domestic product (GDP) at the end of September, according to CBK data.
An analysis by World Remit shows that education, healthcare, and household needs remain Kenya’s primary uses of remittances.
However, “The Kenya shilling depreciation streak has seen our current account deficit widen to 5.3% of gross domestic product (GDP), at a point where our forex reserves have fallen to historic lows,” analysts from Genghis Capital state.
