Kenyan shilling hits year-high amid surging inflows
The Kenyan shilling on Wednesday advanced against the U.S. dollar to clock a level last seen some 12 months ago.
The shilling traded at an average of 102.50 per the dollar, a year-high from 102.75 in the previous session on Tuesday.
The Central Bank of Kenya quoted the local currency at 102.55 during the session up from 102.79 in the Tuesday trading.
On the other hand, commercial banks in the East African nation placed the shilling at between 102.30 and 102.40, a rise from 102.40 and 102.60.
Forex traders attributed the surge of the shilling to high inflows at the debt market as foreign investors buy infrastructure bond worth 388 million dollars floated over a week ago by the government.
However, as it sustained an upward trend against the dollar, the shilling has taken downward path against the British pound, going down to 143.62 on Wednesday from 142.84 in the previous session.
Analysts forecast that the shilling would rise in the coming days to reach 102.30 level due to high inflows and low demand for dollars.