World Bank backs Central Bank of Kenya interest rate hike

Signage of the World Bank. PHOTO | POOL

The World Bank Group has credited interest rate increases by the Central Bank of Kenya (CBK) and the partial settlement of Kenya’s debut Eurobond for the shilling’s rally seen since mid-February.

According to the multinational lender, the higher benchmark lending rate by the CBK has amounted to a defense of the local currency while the partial repayment of the Eurobond notes maturing in June has revived demand for the shilling.