Kenyan shilling gains ground against the dollar

Kenya’s shilling strengthened against the dollar on Wednesday, LSEG data showed. At 1000 GMT, the shilling was quoted at 160.50/161.50 per US dollar, compared with Tuesday’s closing level of 161.00/162.00.

Meanwhile, inflation in the East African nation rose to 6.9% year on year in January from 6.6% a month before due to faster price increases of food, electricity and transport, statistics office said.

Kenyan shilling steady against the dollar

While inflation is still within the government’s preferred target range of 2.5% to 7.5%, persisting local currency weakness remains the biggest risk to a sustained slowdown in inflation, said analysts at ETM Analytics.