The Kenya Shilling faced pressure in the month of May causing it to weaken against the US Dollar.
Increased economic and political tensions from Europe caused mainly by financial tensions in Greece and escalating fears in Spain caused the US Dollar to strengthen globally, with many European investors choosing to convert their assets from the Euro to Dollar-denominations because of these fears. This in turn caused the Euro to weaken and the Dollar to strengthen globally.
In the last two weeks, the Kenya Shilling has recovered slightly against the Dollar, up 0.9% to trade at KES 84.71 per dollar as of yesterday. The Euro is yet to gain significantly against the Kenya Shilling with the Euro recovering slightly to trade at KES 107.25 per Euro. This represents a 0.03% loss in value of the Euro in the last 2 weeks and this loss can be attributed to the continuing Euro problems. The Kenya Shilling has remained stronger against the Euro compared to the price two weeks ago as a result
Below are graphs showing the US Dollar and Euro movements over the last 2 weeks:
