James Mwangi: Kenya Shilling True Value Against US Dollar Depends on Value of Imports, Demand
==========
The value of the Kenyan shilling against the US dollar is determined by the demand and supply of dollars in the market, according to James Mwangi, the CEO of Equity Bank. The Central Bank of Kenya (CBK) published the exchange rate at KSh 131.17 per dollar on April 4. Mwangi stated that the current exchange rate is the market value of the shilling, but the true value will be determined by the value of imports and the demand and supply for dollars. If the demand for imported goods rises, the demand for dollars could increase, leading to a depreciation of the shilling. Economist Daniel Kathali explained that CBK is balancing between the demand and supply of dollars to keep the shilling at its current value. Another banker, John Gachora, CEO of NCBA and chairman of the Kenya Bankers Association, believes that the true value of the shilling lies between the current exchange rate and the historic low of KSh 160. The CBK has propped up the shilling against the US dollar, and the value of income earned in US dollars has declined since February 2024.
#KenyanShilling #ExchangeRate #DemandAndSupply #Imports #UsDollar
https://www.tuko.co.ke/business-economy/544078-james-mwangi-kenya-shilling-true-dollar-depends-imports-demand/
Tuko.co.ke /
npub15yg…zncw
2024-04-08 10:44:57
Author Public Key
npub15ygdhawp2prr6xlzleujfs0hy9g3yvzgzv6pj49afh5sf5q8tfcqdjzncwPublished at
2024-04-08 10:44:57Event JSON
{
"id": "5cf36da303ca43185566c67d8fa75a2d028ee97329adb2fa28feb52f4c0df4a8",
"pubkey": "a110dbf5c150463d1be2fe7924c1f7215112304813341954bd4de904d0075a70",
"created_at": 1712565897,
"kind": 1,
"tags": [],
"content": "James Mwangi: Kenya Shilling True Value Against US Dollar Depends on Value of Imports, Demand\n==========\n\nThe value of the Kenyan shilling against the US dollar is determined by the demand and supply of dollars in the market, according to James Mwangi, the CEO of Equity Bank. The Central Bank of Kenya (CBK) published the exchange rate at KSh 131.17 per dollar on April 4. Mwangi stated that the current exchange rate is the market value of the shilling, but the true value will be determined by the value of imports and the demand and supply for dollars. If the demand for imported goods rises, the demand for dollars could increase, leading to a depreciation of the shilling. Economist Daniel Kathali explained that CBK is balancing between the demand and supply of dollars to keep the shilling at its current value. Another banker, John Gachora, CEO of NCBA and chairman of the Kenya Bankers Association, believes that the true value of the shilling lies between the current exchange rate and the historic low of KSh 160. The CBK has propped up the shilling against the US dollar, and the value of income earned in US dollars has declined since February 2024.\n\n#KenyanShilling #ExchangeRate #DemandAndSupply #Imports #UsDollar\n\nhttps://www.tuko.co.ke/business-economy/544078-james-mwangi-kenya-shilling-true-dollar-depends-imports-demand/",
"sig": "c1442efff112370a6e2172aea7767a4405e5439418220f15571a3373e47bcf728ff0ce6df7988d5f27e6d311a9132c28777f3f6f8ab6f9a596d7dea77e2f63b5"
}