Kenyans working abroad sent home $315 million (KSh 34 billion) in May, the highest amount of remittances ever sent into the country in a month and a 22.3% increase from $258.2 million sent in the same period a year ago.
Key sources of the remittance in the month of May are : US $182.6 mln (up by 25%) followed by the UK, Saudi Arabia, Germany and Qatar. Kenyans in the UK remitted $34.6 million while Kenyans in Saudi Arabia remitted $15 million in May 2021. Remittances from Germany and Qatar reached $10.6 million and $6.3 million respectively in the period under review. In Africa, Tanzania was the leading source of remittances into Kenya, remitting $4.1 million in May. The Us accounted for 57.8% of all remittances to Kenya in May.
Calls are growing louder to redirect a portion of remittances which are primarily used for substance, into investments. According to GBS Africa, there is great appetite for Africans in the diaspora to invest but a lack of formal vehicles to support investments hinders many from doing this. Only around 15% of Diaspora remittance goes to investments, there is a greater opportunity in tapping into this capital.