The Kenyan shilling experienced a significant strengthening against the US dollar today, closing at an average price of Sh145 per dollar and Sh148 per dollar, a notable gain from recent trading ranges.

This positive movement, according to the Kenya Bankers Association (KBA), reflects growing confidence in Kenya's macroeconomic performance and outlook.

"Today's move is rightly attributable to growing confidence in Kenya's macroeconomic performance and outlook, including the recent floatation and successful pricing of a US $1.5 Eurobond and the successful issuance and sale of an 8.5-year Infrastructure Bond," stated John Gachora, Chair of the KBA and NCBA Group Managing Director.

This confidence boost can be attributed to several factors.

Firstly, the recent Eurobond issuance was met with strong foreign investor appetite, overcoming earlier concerns about potential risks.

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Secondly, the successful execution of a Sh70 billion Infrastructure bond, receiving bids worth Sh288 billion and attracting participation from a majority of KBA members, further demonstrates economic stability and potential.

"It is instructive to note that as significant players in the domestic market, the majority of our members participated quite strongly in the Sh70 Billion Infrastructure bond, and banks hold just about 50 per cent of outstanding public debt stock," emphasized Gachora.

The KBA commends the government and the Central Bank of Kenya for their economic stewardship during this challenging period and praises both customers and local bank depositors for their unwavering trust in the market.

"These developments are commendable, and as the KBA fraternity, we salute the Government of Kenya and the Central Bank of Kenya for their economic stewardship through a tumultuous time in the country's economic history," Gachora stated.

Looking forward, the KBA reiterates its commitment to collaborating with relevant stakeholders to foster an even more favourable business environment, ultimately leading to greater prosperity for the Kenyan people.

"At KBA, we will continue to engage with the Government, the Central Bank of Kenya, and all economic agents as we seek to foster an even more conducive business environment necessary to foster greater prosperity for our people," concluded Gachora.