Kenyans living abroad are sending money home at record rates, fueling the country’s economy and families’ well-being. To celebrate this crucial contribution, Kenya’s State Department for Diaspora Affairs joined global festivities for the International Day of Family Remittances.
The theme this year, “Digital remittances towards financial inclusion and cost reduction,” highlighted the growing role of digital money transfers. Ambassador Isaiya Kabira, representing Permanent Secretary Roseline K Njogu, addressed the event at Radisson Blu-Nairobi. He emphasized the positive impact remittances have on education, healthcare, small businesses, and poverty reduction across Kenya.
“The government is committed to supporting our diaspora,” said Amb. Kabira. “We want them to not only send money home but also invest directly in Kenya’s economic growth.”
Remittances are now a significant source of foreign exchange for Kenya, rivaling traditional exports like coffee and tea. This rise is partly due to the country’s innovative digital financial sector, allowing money to reach even remote areas.
However, challenges remain. Fluctuating exchange rates and remittance costs, currently at 6% compared to a targeted ideal of 3%, create friction for senders.
The event brought together key players, including Central Bank Deputy Governor Dr. Susan Koech and IFAD Country Coordinator Ronald Ajengo, to discuss solutions for a smoother and more affordable remittance experience for Kenyans abroad and their families back home.
