Rates and Statistics
A remittance is money sent by a person in a foreign land to his or her home country. Due to the huge sums involved, remittances are now being recognized as an important contributor to the country's growth and development.
The Central Bank of Kenya conducts a survey on remittance inflows every month through the formal channels that include commercial banks and other authorised international remittances service providers in Kenya.
Commentary on Remittances for May 2015
The remittances inflow was resilient through May 2015. It increased by 7.9 per cent to USD 129.1 million compared to USD 119.7 million in May 2014 and by 3.7 per cent when compared to inflows in April 2015 (Table 1). The increase was largely reflected in inflows from Europe and the rest of the world (Table 2).
Meanwhile, the 12 month cumulative inflows to May 2015 increased by 9.8 per cent to USD 1,472 million from USD 1,341 million in the year to May 2014. The 12 month average flow sustained an upward trend to USD 122.7 million from USD 111.7 million during the same period (Chart 1).
Table 1: (Figures are in US$ '000)
Chart 1: Monthly Remittance Inflows
Remittance Inflows by Source Market
Remittance inflows from North America accounted for 44.4 per cent of total inflows. The balance was shared by Europe (30.8 percent) and the Rest of the World (24.8 percent). In terms of growth, remittances from the North America declined by 5.3 per cent to USD 57.3 million in May 2015 from USD 60.5 million in April 2015. Over the same period, inflows from Europe increased by 20.9 per cent to USD 39.8 million from USD 32.9 million, while inflows from rest of the world also increased by 3 per cent to USD 32 million from USD 31.1 million (Table 2).
Table 2: Remittance Inflows by Source (USD m)