KENYA: Diaspora Remittances Drop To Sh39.3bn In February
Kenyans living abroad sent home Sh39.3 billion in February, an 11.5 per cent drop compared to the Sh44.4 billion sent in January.
According to the Central Bank of Kenya(CBK), the US remains the largest source of remittances into Kenya, accounting for 59 percent.
“The remittance inflows continue to support the current account and the foreign exchange market,” said CBK in its weekly bulletin.
The cumulative inflows for the 12 months to February 2023 totaled USD 4,026 million compared to USD 3,840 million in February 2022.
Remittances not only represent an important source of forex but also support many livelihoods.
According to an analysis by WorldRemit, education, healthcare, and household needs are the main uses of remittances in Kenya, sectors that tend to have a multiplier effect on development.
The company also noted that Kenya is among the top 3 countries in Africa in receiving remittances, Nigeria came first followed by Zimbabwe.
Digitization remains a key driver for the growth of remittance services, according to WorldRemit, which has partnered with local banks, allowing direct sending of money to accounts, and M-pesa.
SOURCE: CAPITALFM / By