Kenya’s forex reserves slump to 12-week low

Kenya’s foreign exchange reserves have declined to a 12-week low on volatility of the shilling, which has been under pressure from global currencies.

The reserves stood at 9.25 billion U.S. dollars at the end of last week, which equals 5.78 months of import cover, down from the previous week’s 9.38 billion dollars, according to the central bank’s weekly statistical bulletin.

Despite the decline, the apex bank said the reserves remain adequate for the country’s import cover.

The Kenyan shilling fell 0.5 percent against the U.S. dollar last week amid rising demand for the greenback from merchandise and oil importers.

On Tuesday, the shilling was traded at 103.6 against the dollar.