October 10, 2024
CBK Boosts Forex Reserves to Stabilize Shilling
Over the past five weeks, CBK’s reserves have surged by US$837 million, bringing the total to US$8.2 billion, which covers approximately 4.2 months of imports.
The Central Bank of Kenya (CBK) has been actively purchasing US dollars to strengthen its foreign exchange reserves and stabilize the Kenyan shilling amid increasing volatility, Governor Kamau Thugge announced during a post-Monetary Policy Committee (MPC) briefing. Over the past five weeks, CBK’s reserves have surged by US$837 million, bringing the total to US$8.2 billion, which covers approximately 4.2 months of imports.
This increase in reserves is part of CBK’s strategic intervention, which involves mopping up excess dollars from local banks and remittances, providing a crucial buffer against potential economic shocks. Governor Thugge emphasized that the central bank’s efforts are aimed at curbing fluctuations in the exchange rate and maintaining a stable economic environment.
