NAIROBI: The Kenyan shilling lost its early gains against the dollar on Thursday after the running mate of one of the front-runners in a presidential vote said the final ballot count lacked integrity and should be stopped.
The comments are likely to add to anxiety over the outcome after largely peaceful voting, and is reminiscent of events that preceded the 2007 result announcement that sparked violence that led to the deaths of 1,200 people.
"That could put jitters in the market and could cause anxiety," Duncan Kinuthia, head of trading at Commercial Bank of Africa said.
"That could put pressure on the shilling."
The shilling, which has been swinging back and forth since Monday's vote and was trading at 86.30 per dollar at 0923 GMT according to Thomson Reuters, off its intraday high of 86.
Earlier investors took heart from reassurances from the electoral commission that the election would deliver a credible result despite technological hitches, forcing commercial banks to trim long dollar positions.
The shilling had firmed earlier on Thursday, on optimism the final result tally would flow smoothly, which was expected to produce a winner in the near future, a senior trader had told Reuters in early trade of the shilling.
"Some people may be taking the view that the elections will be credible. Nobody has been radical so far, and that has provided confidence for the shilling," Kinuthia said during early trade.
By 0920 GMT, with about 4.7 million votes tallied, Kenyatta had about 2.5 million votes to Odinga's 1.9 million, giving the deputy prime minister more than 50 percent. But there is still a long way to go, as turnout was estimated at more than 70 percent of the 14.3 million voters.
That tally would give Kenyatta more than 50 percent, which if maintained through the count would give him an outright victory, but there is still a long way to go as turnout was estimated at more than 70 percent of the 14.3 million voters.
The shilling, off its 18-week high of 85.10 hit on Tuesday after voting passed off peacefully, is down 0.9 percent against the greenback so far this year.
The slow release of results has increased anxiety among Kenyans and led to complaints from political parties, including accusations of foreign meddling in the process. But on Thursday, results from around the country looked to be emerging faster than before.
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