This archive report was first published on 29 June 2020.
On June 29, 2020, the Central Bank of Kenya (CBK) expressed optimism about the country's balance of payments, citing a strong recovery in exports and remittances.
CBK governor Patrick Njoroge attributed the improvement to a 4% increase in exports of goods between January and May 2020 compared to the same period in 2019, driven mainly by tea, horticulture, and re-exports.
Tea volumes rose 15.2% in May 2020, while horticulture shipments increased by 33% during the same period.
Flower exports also picked up, with orders reaching 95% of the volumes seen in the same time frame in 2019, according to Dr. Njoroge.
Remittances, which dipped in April, rebounded in May, with monthly inflows reaching $258 million (Sh27.5 billion), up from $208 million (Sh22.2 billion) in April.
Although the import side continues to be depressed due to reduced demand, the CBK governor noted that the price of oil is unlikely to approach the $70 levels seen at the beginning of the year.
