Kenya has recently been experiencing dollar shortage and it is reported some days back that banks ran out of US currency while those with the currency fixed a daily maximum usage of dollar purchases for as low as $5,000 (Ksh678,750).
The President of Kenya William Ruto assured the public that his administration is making plan towards resolving the dollar shortage within few weeks to ease the worries of the people.
He opined that the government has seek lengthier credit duration for necessary imports like gasoline due to the hard currency shortage, which has been attributed partially to the absence of a functioning interbank foreign exchange market.
He added that his administration is currently in conversation with the Central Bank of Kenya to reinstate the interbank exchange market which has not been operational for a while now.
The inactiveness of interbank exchange market can partly be blamed for the hard currency shortage. This is coupled with the fraudulent acts of money changers who use a different foreign exchange rate than that of the official rate by the Central bank, a difference of Ksh10 per dollar.
Ruto advised those holding unto the dollar currency, in attempt to make more profit by selling it at a higher rate during scarcity of dollar, to desist from such an act.
