Shilling Firms at KSh 129.81 as Reserves Slip KSh 6.10B and Short-Term Bill Rates EaseShilling Firms at KSh 129.81 as Reserves Slip KSh 6.10B and Short-Term Bill Rates Ease
Key Highlights
- The shilling closed the week to 15 October at KSh 129.81 to the dollar, slightly stronger than KSh 129.94 a week earlier, while import cover held at 5.9 months.
- Reserves fell KSh 6.10B ($47M) to KSh 1.91T ($14.69B) and the 91-day Treasury bill rate eased to 8.75%, with bids at 6.2 times the amount offered.
- The All Share Index fell 2.57% on the week and market capitalisation dropped to KSh 4.01T, while September remittances of KSh 56.92B ($438.5M) rose 4.5% from a year earlier.
The Kenyan shilling firmed slightly to KSh 129.81 against the US dollar in the week to 15 October, while foreign exchange reserves slipped KSh 6.10B ($47M) to KSh 1.91T ($14.69B).
The moves are small, but they show a currency holding steady as regional neighbours come under pressure. The Central Bank of Kenya weekly bulletin puts import cover at 5.9 months, unchanged and above the four-month statutory minimum.
Shilling and reserves
The shilling traded at KSh 129.81 on 15 October against KSh 129.94 on 8 October. Reserves stood at KSh 1.91T ($14.69B), down from $14,736M the week before.
Mwenendo earlier reported on how Kenya's steady shilling leans on a thinning cushion after Uganda's emergency rate rise. This week's reserve fall is a further small draw on that cushion.
Treasury bills and interbank market
Average rates on the 91-day bill eased to 8.75% from 8.76% and on the 182-day bill to 8.86% from 8.87%. The 364-day bill was little changed at 9.04%.
The 91-day auction drew bids of KSh 49.80B ($383.6M) against KSh 8.00B ($61.63M) offered, about 6.2 times the amount on offer. The interbank rate, KESONIA, held at 8.75%.
Average daily interbank turnover rose to KSh 14.90B ($114.79M) from KSh 5.90B ($45.45M), across 28 deals compared with 17. Excess reserves in the banking system were about KSh 20.50B ($157.93M) above the 3.25% cash reserve requirement.
Equities and remittances
The Nairobi All Share Index fell 2.57% to 239.03 and market capitalisation dropped to KSh 4.01T ($30.90B), while equity turnover rose 33.42% to KSh 2.99B ($23.04M). As Mwenendo earlier reported, foreign investors net sold KSh 737M the week before, so the slide has now run for two weeks.
Diaspora remittances reached KSh 56.92B ($438.5M) in September, up 4.5% from a year earlier. The 12-month total of KSh 653.20B ($5.03B) was 1.0% lower than a year earlier.
Gross domestic debt stood at KSh 7.85T ($60.44B) on 9 October.
In Summary
- What did the bulletin show?
- The shilling firmed to KSh 129.81 per dollar while reserves slipped to $14.69B (KSh 1.91T).
- Who published it?
- The Central Bank of Kenya, in its weekly bulletin of 16 October 2026.
- What period does it cover?
- The week to 15 October 2026, compared with 8 October.
- Where did rates move?
- The 91-day bill eased to 8.75%, the 182-day to 8.86% and the 364-day was little changed at 9.04%.
- Why does it matter?
- Import cover held at 5.9 months, above the four-month minimum, supporting the shilling.
- How did remittances and shares fare?
- September remittances rose 4.5% to $438.5M (KSh 56.92B); the All Share Index fell 2.57% on the week.