Kenya shilling in five-week high

The Kenyan shilling hit a five-week high against the dollar yesterday, helped by tightening liquidity and importers holding back on dollar purchases in anticipation of further gains, traders said yesterday. Market players said strong foreign investor appetite expected for the ten-year Treasury bond auction was supporting the shilling, but that usual end-month dollar demand could put pressure on the local currency in the days ahead. Climbing for the sixth straight session, the shilling was quoted by commercial banks at 83.55/75 per dollar at 0725 GMT, level it last touched in mid May and 0.7 per cent stronger than Tuesday's close of 84.15/35.