Kenya’s Foreign Reserves Hit Historic High of $10.94 Billion, Bolstering Economic Stability

Nairobi, Kenya – Kenya’s economic firewall has been significantly strengthened, with the country’s foreign exchange reserves soaring to a historic high of USD 10.94 billion by mid-June 2025. The milestone—reported by Xinhua News Agency—marks a critical boost to the nation’s financial resilience, offering a solid buffer against external shocks and currency market volatility.

This record reserve level, now adequate to cover approximately 4.8 months of imports, exceeds global benchmarks for economic safety and positions Kenya as a standout performer among peer economies in the region.

The rise in reserves has been fueled by a convergence of favorable economic trends. Key among them are:

• Strong export performance in the horticulture and coffee sectors, driven by improved global demand and competitive pricing.

• A significant surge in diaspora remittances, as Kenyans living abroad continue to support families and invest in their homeland.

• The successful negotiation of external financing, including concessional loans that have buoyed Kenya’s capital inflows.

Economists have welcomed the development as a clear vote of confidence in the country’s macroeconomic management and a sign of renewed investor optimism.

“This is a reassuring indicator of economic stability and policy maturity,” said one Nairobi-based financial analyst. “In a world grappling with inflation and geopolitical uncertainty, Kenya’s position offers a degree of calm amid the storm.”

Beyond enhancing Kenya’s creditworthiness, the strengthened reserves give the Central Bank greater latitude to stabilize the shilling, manage inflationary pressures, and support fiscal planning with greater assurance.

As Kenya navigates complex global economic terrain, this financial milestone could serve as a launchpad for broader structural reforms and investor-driven growth.