• April 19, 2024
  • Last Update April 19, 2024 7:23 AM
  • Nairobi

ODM MP explains why Kenyan shilling will drop value against US dollar from August

ODM MP explains why Kenyan shilling will drop value against US dollar from August

By Patricia Mollyne Mataga

Saboti Member of Parliament Caleb Amisi has hailed efforts the government is making to stabilise the economic.

Amisi, an ODM legislator admitted that the current gain that the Kenyan shilling has recorded against the United States of America dollar is an indication of an improved economy.

In a post on his verified X handle, the youthful MP said the current good show of the Kenyan shilling not only against the dollar but globally is a sigh of relieve to many.

“The good performance of the Kenya shillings in the international market is a great sigh of relief to our economy, and we must learn to give credit where it is due,” Amisi said.

The Kenyan shilling has made its biggest gain against the US dollar in the last few days.

From trading at Ksh162 in January, a dollar was below Ksh140 on Friday, March 15, 2024.

But despite the latest development, the ODM legislator claimed the value will start depreciating again in August.

According to Amisi, the drop will coincide with payment of the Eurobonds by the government.

“But make no mistake, it will drop again around august towards December after the lumpsum payment of euro bond by the treasury. Kenya needs a renaissance,” he warned.

The shilling started gaining globally after the government announced securing a Ksh234 Eurobond.

Part of the loan was used to settle the previous Eurobond which was due.

The current Eurobond will mature in 2031.

Experts said the shilling started gaining after the new loan facility was secured as doubts over Kenyan ability to repay the precious one was settled.

There has been projections that the shilling will gain further against the Dollar in the next few weeks.

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