Kenya shilling steady as foreign inflows rise

NAIROBI, Dec. 4 (Xinhua) -- The Kenya shilling started the week on Monday steady, sustaining an upward trend as inflows from the agriculture sector and debt market rose.

The currency traded at an average of 103.00 as it did at the end of last week but firmed in Monday's trading session.

The Central Bank of Kenya (CBK) placed the shilling in the Monday trading at 103.03, a 0.02 percent growth from previous session's 103.10.

Commercial banks in the East African nation, on the other hand, quoted the currency at a strong position of 103.00 and 103.15, the same level the currency ended the week Friday.

Traders in the financial institutions attributed the stability of the currency against the dollar to the increasing inflows which have helped to offset growing demand for dollars from retail importers.

However, to the British pound, the shilling fell marginally to trade at 138.86 from 138.70 at the close of Friday.

Analysts at Cytonn, a Nairobi-based investment firm, noted that the shilling would remain stable against the dollar in the short term, supported by the expected calm in the political front, following the conclusion of the presidential elections and the swearing in of the president.

The Kenya shilling appreciated by 0.6 percent against the dollar last month to close at 103.1 and is stable against regional currencies. Enditem