Should Something be Done About the Consistent Weakening of the Shilling?

By Juma Fred On June 17, 2017

Kenyan-Shilling

Economists are now raising concerns as to whether something should be done to shield the shilling which has maintained its weakening trend against the US Dollar, the Sterling Pound, and the Euro.

On Friday, being the fifth day running, the shilling weakened against the dollar by 1.0 percent on a year to date basis. The same trend was witnessed against the Sterling Pound where the shilling declined by 5.3 percent and went further down against the Euro by 7.9 percent on a year to date basis.

On the Kenyan Stock Market, the market turnover at the bourse gained 189.8 percent to USD 24.65 million with this being an equivalent to 2,553.13 million shillings from Thursday’s trading.

The NSE 20 and NASI Indices rose 0.53 percent and 0.75 percent to close at 3,541.35 and 154.08 respectively while foreign investors, on the other hand, assumed a net buying position by accounting for 87.8 percent of total market purchases and 34.4 percent of total market sales.

Shifting to the East African Community Markets, in Rwanda, the RSI and RASI indices dropped 0.41 percent and 0.06 percent to close at 116.82 and 126.82 respectively while in Uganda, the USE ALSI and USE LCI gained 1.35 percent and 1.28 percent to close at 1,674.93 and 368.12 respectively.

 

About Juma Fred

Juma Fredrick is an enthusiastic journalist who believes that journalism has power to change the world either negatively or positively depending on how one uses it.

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Email: [email protected]