Just in:  

You are here: Home»General News»Pakistan»Kenyan shilling firms on tight liquidity, stocks down

Kenyan shilling firms on tight liquidity, stocks down

The Kenyan shilling strengthened on Monday, helped by tight liquidity and expectations that the central bank will raise its lending rate this week, while stocks fell for a third-straight session. At the close of trade, commercial banks quoted the shilling at 101.35/45 to the dollar, from Friday's close of 102.35/45. Traders said the shilling had strengthened due to tight liquidity in the money markets, which had pushed interbank lending rates higher.

The weighted average interbank lending rate rose to 19.2121 percent on Friday from 18.4628 percent a day earlier, and hit an intraday high of 20 percent. "We are looking at very tight liquidity in the money market, which is strengthening the shilling," said a trader at one commercial bank.

The shilling had also gained on expectations that the central bank will raise its benchmark lending rate at its meeting on August 5, traders said. The central bank's Monetary Policy Committee (MPC) has raised the rate by 3 percentage points since June, to 11.5 percent, to offset the weakening shilling. A Reuters poll of 11 analysts shows the rate is expected to rise to 12 percent. A second trader said subdued dollar demand from corporate players - a common occurrence on the first trading day of a new month - had further helped the local currency to gain.

Copyright Reuters, 2015


Index Closing Chg%
Arrow DJIA 17,798.49 0.08
Arrow Nasdaq 5,127.52 0.22
Arrow S&P 2,090.11 0.06
Arrow FTSE 6,375.15 0.28
Arrow DAX 11,293.76 0.24
Arrow CAC-40 4,930.14 0.32
Arrow Nikkei 19,883.94 0.30
Arrow H.Seng 22,068.32 1.87
Arrow Sensex 26,128.20 0.65

Wholesale Camping Equipment from China at 

New 2015 adidas and Nike Soccer Cleats at Kicks Corner uk

Ad Asia 2015

Foreign Debt $62.649bn
Per Cap Income $1,512
GDP Growth 4.24%
Average CPI 8.6%
Trade Balance $-2.197 bln
Exports $1.729 bln
Imports $3.926 bln
WeeklyNovember 23, 2015
Reserves $19.713 bln