150 to the dollar. Situation is not very good. Infact 150 is a good number, and it will happen when the oil traders start cashing their credits, there will be a surge in demand for dollars in Kenya following the oil for credit program the government implemented. Its coming in the next few months.
But this dollar will be crossing 200 very soon. David Ndii tweeted with debt service at 60% revenue, its either Salaries or Default, you pick. Theres no way government will default on salaries in Kenya. That would mean theres no government.
But lets revisit countries that defaulted. Srilankan Rupee jumped from 200/dollar to 360/dollar almost instantaneously in its April 2022 default and remains so today.
Zambian Kwacha dropped from 10/dollar to 20/dollar in 2019 when its default technically started.
Since December 2022 when Ghana went into debt default crisis, the Cedi has lost value from 6/dollar to 10/dollar.
Argentinian Peso lost half its value in its 2014 default crisis.
I dont know how much fuel will cost at the pump then. Or everything we import ( from medication to vehicles). But, its coming.
