Kenya Shilling Weakens Slightly as Global Oil Prices Decline

Kenya Shilling Weakens to Ksh129.62 as Oil Prices

The Kenyan shilling weakened slightly against the US dollar during the week ending September 17, 2026, even as global crude oil prices declined.

The shilling traded at Ksh129.62 per US dollar on September 17, up from Ksh129.45 on September 10, according to the Central Bank of Kenya (CBK) weekly bulletin released Friday, September 18.

“The Kenya Shilling remained stable against major international and regional currencies during the week ending September 17, 2026,” CBK said in its weekly bulletin.

Global Oil Prices Decline

At the same time, CBK reported that Murban crude oil prices fell to $94.70 (Ksh12,265) per barrel on September 17 from $95.41 (Ksh12,357) per barrel on September 10.

Also Read: Kenya’s Forex Reserves Recover as Global Oil Prices Jump

The decline came despite continued geopolitical tensions in the Middle East. CBK attributed the movement to easing supply concerns and profit-taking by market participants.

Foreign Exchange Reserves Remain Strong

Elsewhere, Kenya’s foreign exchange reserves remained strong during the week, standing at $15.088 billion, which was enough to cover 6.1 months of the country’s imports as of September 17.

This was above the CBK’s minimum requirement of four months of import cover.

The reserves act as a financial cushion for the economy and help Kenya meet its international payment obligations.

Remittance Inflows Rise

Meanwhile, remittance inflows increased in August 2026 compared with the same month last year.

Kenya received $451.8 million in remittances in August 2026, up from $426.1 million in August 2025, representing a 6 percent increase.

At an exchange rate of KSh129.51 per dollar, the August 2026 inflows were worth approximately Ksh 58.51 billion.

Also Read: EPRA Announces New Fuel Prices as Global Oil Surges Past $100

However, cumulative remittance inflows for the 12 months to August 2026 declined by 1.3 percent to $5.013 billion, compared with $5.079 billion over a similar period in 2025.

CBK said remittances remain an important source of foreign exchange earnings and continue to support Kenya’s balance of payments.

The central bank also reported that the money market remained liquid during the week, with commercial banks’ excess reserves averaging Ksh24.2 billion above the 3.25 percent Cash Reserve Ratio requirement.

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