Kenya Shilling Snaps 7-Day Rally as Bank Stays Out of Market
Kenya’s shilling snapped a seven-day rally as the central bank refrained from entering the market for a third day.
The currency of East Africa’s largest economy depreciated 0.4 percent to close at 83.86 per dollar after trading 0.9 percent weaker at 84.33 earlier in the capital Nairobi.
The bank didn’t offer repurchase agreements and term- auction deposits for a third day today, an official who asked not to be identified in line with policy said. The bank reintroduced term-auction deposits as a “liquidity management” measure on June 5.
The shilling gained 2.2 percent in the seven days through yesterday, closing at 83.55 per dollar, the highest since May 11, according to data compiled by Bloomberg.
Uganda’s shilling weakened 0.1 percent to close at 2,470 per dollar, while Tanzania’s currency depreciated by less than 0.1 percent to close at 1,582 per dollar.
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