Kenyans Abroad Sent Ksh 31.5 Billion To Relatives

Kenyans living and working in other countries sent a whopping 31.5 billion shillings back to Kenya in March despite the economic challenges of the ongoing Covid-19 pandemic. This is according to data from the Central Bank of Kenya.

Diaspora remittances in March grew 27 percent from 24.8 billion shillings that were sent home in March 2020 to 31.5 billion shillings for March 2021. CBK has been carrying out a survey on Kenyans living abroad on the frequency of their remittances.

The United States of America, according to the CBK data is the biggest source of remittances to Kenya, accounting for 55.9 percent of remittances last month. Others including the United Kingdom at 11.2 percent, Saudi Arabia (4 percent), Canada, and Australia at (2.9 percent each).

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“Remittances in March 2021 amounted to $290.8 million (Sh31.5 billion), compared to $228.8 million (Sh24.8 billion) in March 2020, an increase of 27.1 percent,” said CBK in a statement.

The diaspora inflows have been the country’s largest source of foreign exchange since 2015 when they overtook earnings from tea exports. The National Treasury says it plans to capitalize on foreign remittances to raise revenue for the country.

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Kenya is currently thriving on the wheels of debts. The national debt is above 7 trillion shillings although the International Monetary Fund quotes it at 10.5 trillion shillings. The government plans to cut on debts by capitalizing on local tax nets.

The CBK is conducting its first-ever Diaspora Remittances Survey, which will be concluded next month, seeking information on inflows that will help guide policy and find ways of boosting the role of remittances in supporting the economy and livelihoods.

Most Kenyans in the diaspora are reluctant to take up the survey.