Kenyan Shilling Buoyed by Continuous Foreign Exchange Inflow

Secondary Market: Trading in the secondary market remained robust during Wednesday’s trading session as bond turnover grew to KES 2.18 billion with a sum of 9 bond deals transacted during the trading session. Lower yields particularly on the short term bracket have spurred trading in the money market.

Money Market: In Wednesday’s trading session, the shilling extended its stellar performance against the dollar and the Euro; however, retraced its performance against the other currency comparables. The Kenyan shilling rallied 0.1% against the greenback as the Central Bank of Kenya entered the market to mop-up 16Bn worth of liquidity, through reverse REPOs; this coupled with the continuous inflow of foreign exchange to purchase Treasury Bills, ensured the shilling buoyed.

Upcoming Auctions

• 4th November 2015 – KES 4.0Bn 182-day T-bills & KES 4.0Bn 364-day T-bills

• 5th November 2015 – KES 4.0Bn 91-day T-bills