October diaspora remittances set new monthly record at Ksh.37.8 billion

Kenyans in the diaspora sent home a record Ksh.37.8 billion ($337.4 million) in October, setting a new record for the offshore inflows.

New data from the Central Bank of Kenya (CBK) shows the remittances jumped by 28.2 per cent from Ksh.29.5 billion ($263.1 million at the same stage last year.

During the month, the United States remained the largest source of diaspora remittances to Kenya accounting for 65.9 per cent of the inflows in October.

The diaspora remittances have continued to mark resilience having weathered the storm of the COVID-19 pandemic to stay on a growth trajectory.

October’s remittances broke July’s previous record of $336.7 million.

In 10 months through 2021, Kenyans in the diaspora have now sent home Ksh.341.3 billion (($3.047 billion) and are on course to hit a new annual record in December.

Last year, Kenyans abroad sent home Ksh.346.5 billion ($3.094 billion) to represent a 10.7 year on year remittances growth.

The remittances have grown by an average annual rate of 14 per cent since 2013.

According to a recent survey by non-profit Pangea Trust, about half of the remittances or 49 per cent of the flows go into financially supporting friends and family.

Investments take up a 15 per cent share of the diaspora dollars while 17 per cent goes to donations to charities and religious groups.