CFC Stanbic Bank has launched a service where one can convert the Kenyan shilling to the Chinese currency (Chinese Yuan) directly and vice versa. With the increasing trade and tourism between Kenya and the East Asian economic giant, there has been growing need for exchange of currency for traders, tourists and other visitors to change currency.
In a statement by CFC Stanbic Bank, the new platform will enable customers to make payments in Kenyan shillings, US Dollars or Chinese Yuan. Customers can also open foreign currency accounts and get letters of credit from the bank.
“I believe this direct conversion of our money directly into Chinese Yuan will significantly lower the cost of doing business as opposed to using US dollars which has been the case.” Said James Murage, a shoe dealer in Nairobi.
According to Central Bank of Kenya, the Kenyan shilling is valued at 85.5383 and 13.7383 to the US Dollar and Chinese Yuan respectively.
According to treasury, the value of bilateral trade between Kenya and China hit KES 144 billion ($1.8 billion) in 2010, with Kenya importing more than China does creating an imbalance.
Kenya mainly exports leather, tea, coffee, sisal fibre, scrap metal and horticultural produce to China and in turns takes up machinery, electronic and electrical goods, textile and fertilizer among others.