The Kenyan shilling firmed against the US dollar and other major currencies on Monday, October 12, 2026, trading at Sh129.75 to the dollar, according to the Central Bank of Kenya's (CBK) daily exchange rates. It recovered from Sh129.91 on Friday after a week in which a stronger dollar and falling foreign exchange reserves had pushed the currency towards the Sh130 mark.
The gains were broad against the major currencies. The pound fell to Sh171.67 from Sh172.04 on Friday, the euro to Sh145.32 from Sh145.92, and the rand to Sh7.84 from Sh7.86, while 100 Japanese yen were worth Sh81.94, down from Sh82.18.
The picture was mixed against regional currencies. One Kenyan shilling bought 31.21 Ugandan shillings, down from 31.47 on Friday, which means the shilling slipped slightly against Uganda's currency. It bought 20.34 Tanzanian shillings, virtually unchanged from 20.35, and 11.36 Rwandan francs, up from 11.33.
Monday's move follows a softer week. The CBK's weekly bulletin of October 9 said the shilling remained stable against major and regional currencies in the week to October 8, though it had weakened to Sh129.94 per dollar from Sh129.71 a week earlier, a fall of 23 cents. At Sh129.75, the shilling is now back within 4 cents of its October 1 level.
Reserves also eased. The bulletin showed usable foreign exchange reserves falling to $14.736 billion, equal to 5.9 months of import cover, from $14.93 billion, or 6.1 months, a week earlier. That is still above the CBK's four-month requirement, but below the $15.253 billion recorded on September 10. Reports attributed the shilling's recent pressure partly to a stronger dollar globally.
The CBK's Monetary Policy Committee kept the Central Bank Rate at 8.75% last week and described reserves as an adequate buffer. Inflation rose to 6.8% in September, so the exchange rate matters for households, since a weaker shilling raises the cost of imported fuel, food and machinery.
For importers and travellers, a firmer shilling brings small relief, but a move of this size will not change prices on its own. The Energy and Petroleum Regulatory Authority is due to announce its next pump price review by October 14, when the shilling and global oil prices will both feed into the formula.
The CBK's rates are indicative. Banks and forex bureaus quote their own buying and selling rates, which differ from the published figures.
