Kenyan Shilling Slightly Depreciates Against Tanzanian Currency
- The Kenyan shilling remains king in the East African Community (EAC) region, dwarfing the Tanzanian and other currencies
- In the last week, the local currency remained stable against the United States (US) dollar and other currencies
- The Central Bank of Kenya's weekly bulletin highlighted monetary and financial developments in the nation
TUKO.co.ke journalist Japhet Ruto has over eight years of experience in financial, business, and technology reporting and offers deep insights into Kenyan and global economic trends.
The Kenyan shilling has slightly depreciated against the Tanzanian shilling in the last week.
Source: Getty Images
This came after Tanzania implemented new business laws that banned foreigners from conducting 15 businesses meant for locals.
How is KSh performing against TSh?
According to the Central Bank of Kenya, the local currency exchanged at 19.85 against the Tanzanian shilling on Thursday, July 31, compared to 20.15 on Thursday, July 24.
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However, the shilling remained relatively stable against other currencies in the East African Community (EAC) region.
It traded at 27.77 against the Ugandan shilling on Thursday, July 24, compared to 27.74 on Thursday, July 31.
Against the Rwandan franc, the local currency exchanged at 11.16 on Thursday, July 24, compared to 11.17 on Thursday, July 31.
During the period under review, the Kenyan shilling also remained steady against the United States (US) dollar, trading at 129.25 against the greenback on Thursday, July 24, versus 129.24 on Thursday, July 31.
Source: Getty Images
What is the value of Kenya's forex reserves?
On Friday, July 25, the Central Bank of Kenya released its weekly bulletin, which highlights monetary and financial developments in the nation.
The value of foreign exchange reserves fell from $11,185 million (KSh 1.44 trillion) on Thursday, July 17, to $10,749 million (KSh 1.39 trillion) on Thursday, July 24, according to the banking regulator.
The fall in forex reserves came as Kenya's public debt rose from $11,491.98 billion (KSh 11.49 trillion) in April to $11,511.72 billion (KSh 11.51 trillion) in May.
The nation's external debt rose from $5,327.88 billion (KSh 5.33 trillion) to $5,308.18 billion (KSh 5.32 trillion) over the period.
How is Kenya's economy compared to Tanzania's?
Tanzania is classified as a low-income country by the International Monetary Fund (IMF), whereas Kenya is categorised as a middle-income country.
The Bretton Woods institution predicts that Tanzania's economy will increase by 6% and Kenya's by 4.8% in 2025.
Tanzania's GDP is predicted to reach $85.98 billion (KSh 11.12 trillion) this year, while Kenya's is predicted to jump to $132 billion (KSh 17 trillion).
Which businesses did Tanzania ban foreigners from?
As earlier reported by TUKO.co.ke, Selemani Saidi Jafo, Tanzania's Minister of Trade, unveiled new rules that will govern business in the East African nation.
Among other things, he prohibited foreigners from working as tour guides, mobile money transfer operators, salon owners, and small-scale miners.
According to Jafo, Tanzanians were concerned that certain foreigners were driving them out of business and increasing the country's unemployment rate.
Proofreading by Asher Omondi, copy editor at TUKO.co.ke.
Source: TUKO.co.ke
