Ruto Aims for Over Ksh 656B Diaspora Remittances as Kenya Currency Gains Momentum
Kenyans living abroad are required to send back home over KSh 656 billion in 2024.
President William Ruto said his administration plans to raise diaspora remittances from $4 billion (KSh 523.8 billion, based on the current exchange rate) to $5 billion (KSh 655.9 billion) this year.
Central Bank of Kenya (CBK) showed that diaspora remittance in February 2024 hit $385.9 million (KSh 50.5 billion) compared to $309.2 million (KSh 40.5 billion) reported during a similar period in 2023.
How much is Ruto targeting in diaspora remittance?
Rut said this while addressing the Kenyan diaspora in Accra, Ghana, on Wednesday, April 3, 2024.
The head of state urged Kenyans working abroad to find extra sources of income and invest the money in Kenya.
“We intend to increase diaspora remittances from about $3.8 billion (KSh 497.7 billion) to $10 billion (KSh 1.3 trillion) in the next 5-7 years. In 2022, we were at $3.8 billion, and this year we will possibly cap it at $5 billion.
“You guys continue working, maybe you can get an extra job and invest in the right place. I have given you a leakage of where that is,” said Ruto.
What Ruto’s govt is doing to raise diaspora remittance
The president applauded the country’s stock exchange market, revealing that foreign investors have gained confidence in it.
This came even as the Kenya shilling ranked among one of the best-performing currencies in the world.
“Many people have now developed confidence in the country. If you look at our stock exchange, it is the top-performing stock exchange in Africa today. Today, investors globally believe in Kenya,” he said.
How Kenya’s Nairobi Securities Exchange (NSE) is performing
The NSE emerged as a global leader in performance, driven by the strengthening of the Kenya shilling against the US dollar.
The Nairobi bourse’s stellar performance has outpaced over 90 benchmarks monitored by Bloomberg, marking a significant turnaround from its previous struggles.
The NSE 20 Share index and the all-share index recorded increases of 10.06% and 11.84%, respectively, over the past three months.
Ruto Aims for Over Ksh 656B Diaspora Remittances as Kenya Currency Gains Momentum