Shilling holds steady despite globally weakening dollar

Kenya and US currencies

In the year-to-date, the shilling has gained by 21 percent on the dollar, making it one of the top-performing currencies on the continent.

Photo credit: Shutterstock

The shilling hit a ceiling of Sh129.19 to the dollar as it traded in a narrow range in September, defying expectations that it would gain against a globally weakening dollar after the US interest rate cut two weeks ago.

Traders pointed to Central Bank of Kenya (CBK) dollar buying activity in the market to prevent volatility, while also reporting that there was reduced activity in the forex market due to the limited margins on the currency pair. 

PAYE Tax Calculator

Note: The results are not exact but very close to the actual.