Encourage citizens abroad to send cash – Business Daily
The Central Bank of Kenya in Nairobi. PHOTO | NMG
Kenyans living abroad defied global inflation and the ripple effects of Russia’s invasion of Ukraine to send home a record Sh453.6 billion to family and friends in the 11 months to November, representing a nine percent growth.
This has cemented remittances as a major source of foreign exchange inflows cushioning the weakening shilling that has hit record lows against the US dollar.
The remittances more than doubled since a similar period in 2017 when Kenyans in the diaspora sent home Sh215.4 billion, according to Central Bank of Kenya data.
The data gives more insights into where most Kenyans working abroad are sending the money from.
North America — the US and Canada — is the biggest source of remittances to Kenya, accounting for 60.1 percent of the total sum of funds sent into Kenya last year.
Given the importance of remittances to the economy, it is time for the country to put in place tax incentives to make it easier for Kenyans living abroad to send money home.
