According to the latest Kenya National Bureau of Statistics (KNBS) Remittances Household Survey Report 2025, the United States remained Kenya's largest source of diaspora remittances, contributing an estimated Ksh405 billion between June 2024 and May 2025.
The amount formed part of the Ksh931.8 billion remitted to Kenya during the review period, with the report indicating that Ksh848.3 billion was sent through cash transfers while Ksh83.5 billion came in the form of in-kind support.
The survey, which marks the country's first nationwide household assessment of remittances, identified North America as the leading source region, largely driven by the United States.
Of the total U.S. contribution, Ksh388.1 billion was received through cash transfers while Ksh17.3 billion was sent as in-kind remittances.
The continued dominance of U.S.-based remittances underscores the growing importance of diaspora earnings in supporting Kenya's foreign exchange reserves and strengthening the country's external sector performance.
“The USA emerged as the biggest source of remittances at 43.5 per cent. The country should put efforts to retain these important sources as well as seek ways to also bring on board other countries as sources of remittance inflows,” the survey read in part.
The report also highlighted growing contributions from the Middle East, with Saudi Arabia, Qatar, and the United Arab Emirates emerging as key remittance sources, reflecting the diversification of Kenya's diaspora income streams.
Saudi Arabia, Qatar, and the United States were among the countries with the fastest remittance delivery times, with many transfers reaching recipients within the same day due to advances in international payment systems.
Diaspora remittances continue to rank among Kenya's most reliable sources of foreign currency, alongside exports, tourism earnings, and foreign direct investment, helping boost liquidity in the foreign exchange market.
The inflows have also played a role in supporting the Kenyan shilling over the last two years, complementing stronger export revenues and external financing that have helped cushion the currency against global market pressures.
Although cash transfers accounted for the bulk of remittances, the survey found that in-kind support remains significant, particularly among rural households and those with lower education levels, where it helps meet everyday needs.
Common in-kind remittances included clothing, footwear, electronics, mobile phones, and food products, with most recipient households spending the funds on consumption rather than investment.
Food and household items accounted for 73.1 per cent of remittance expenditure, followed by education at 31.4 per cent and healthcare costs at 23.9 per cent. Only a small proportion of remittances was directed towards farming, construction, and real estate investments.
