The Kenyan shilling has been gaining ground against the US Dollar in the past month. Many think it is a passing cloud and that the shilling will go back to what it did for the longest; losing against the US Dollar. The government insists the shilling will continue gaining ground.
But the shilling, despite the divergent views, keeps on growing stronger. This has sent some shockwaves and panic among those who were holding onto the green paper with the hope that the shilling will hit 200 shillings against the US Dollar. “Sell your dollars,” the streets screamed.
And so many have been selling their dollars with the worry that the shilling would grow as strong as 100 shillings to the dollar. But as they rushed to sell, commercial banks seemed to take advantage of the situation to harvest big from the panic. It is not a must for you to sell your dollars to the banks.
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If you must sell your dollars, take them to a reputable forex bureau such as Satellite Forex Bureau. Do not take them to the bank. Why? Two reasons.
First, banks are always buying dollars at the lowest rates and selling them at the highest rates. It is all about maximizing profits.
Second, banks have a set limited number of IS Dollars they give out under the regulations of the Central Bank of Kenya, unlike the Forex Bureaus, although regulated but can always find your way around it.
There is no doubt that Forex Bureaus have better rates than the banks. On Thursday, just as Kenyans were heading to celebrate their Easter holidays, Forex Bureaus were buying the dollar between 129 and 130 shillings and selling it at 133 shillings.
What about the banks? Bad news. They were buying the US Dollar between 127 and 128 shillings and selling it between 133 and 135 shillings. Therefore, if you sold your dollars to a Forex Bureau, you would have received more cash as compared to the commercial banks.
Next time before you sell those dollars, do your window shopping first.
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