The Kenya shilling also depreciated against the South African Rand and the Tanzanian and Ugandan shillings.
According to WorldRemit research, Kenya is one of the top recipients of remittances on the continent, with the primary uses being household needs, healthcare, and education.
Debt servicing expenses for the FY 2023/24 will amount to Sh1.8 trillion, or 90 per cent of the overall consolidated fund expenditures.
Data by the Central Bank of Kenya (CBK) shows the usable foreign exchange reserves stood at $6.97 billion (Sh911.8 billion), or just about 3.6 months of import cover as of May 29.
Kenya used the $1.5 billion it raised on February 12, 2024, in the Eurobond buyback issue to make the payment, thereby eliminating the risk of debt default.
The shilling has been on a positive trend over the past two weeks, much to the relief of businesses that import goods.
The Kenyan shilling plunged to a historical low of Sh160.23 against the US dollar on Monday, raising the alarm about a prolonged period of record weakening.