FX.co ★ Kenya Holds Interest Rate at 8.75% in June, Extending Tight Policy Stance

Kenya’s central bank left its key interest rate unchanged at 8.75% in June 2026, maintaining the level set at its previous decision in April 2026. The move signals a continued commitment to its existing tight monetary policy stance as policymakers balance inflation control with support for economic activity.

By holding the benchmark rate at 8.75%, authorities opted for stability rather than further tightening or easing, suggesting that current conditions are viewed as broadly aligned with the bank’s policy objectives. The decision keeps borrowing costs steady for businesses and consumers, while preserving the central bank’s capacity to respond to any future shifts in inflation or growth.

The latest data, updated on 09 June 2026, confirms that the rate has now been held at 8.75% across two consecutive policy meetings, reinforcing a cautious and watchful approach to Kenya’s monetary policy in the current environment.