United States Remains Kenya’s Top Source of Diaspora Remittances

The United States contributed KSh405 billion in remittances to Kenya between June 2024 and May 2025, accounting for 43.5 percent of all funds sent home by Kenyans living abroad, according to a new survey by the Kenya National Bureau of Statistics (KNBS).

The 2025 Remittances Household Survey Report shows that total remittance inflows reached KSh931.8 billion during the period. Cash transfers remained the main form of support, amounting to KSh848.3 billion. In-kind contributions, including clothing, electronics and food items, totalled KSh83.5 billion.

North America was the largest source region for remittances. The United States alone contributed KSh388.1 billion in cash transfers and KSh17.3 billion in goods, making it Kenya’s leading source of diaspora inflows.

The Middle East was also a significant contributor. Saudi Arabia, Qatar and the United Arab Emirates provided substantial remittances and were among the countries with the fastest transfer times. 

Advances in global payment systems enabled many transactions to be completed within the same day, improving the reliability of remittances for recipient households and the wider economy. The survey also examined how remittances are used within Kenya. Most of the funds were directed towards household consumption, with 73.1 percent spent on food and other household needs.

Education accounted for 31.4 percent of spending, while healthcare represented 23.9 percent. Investment in farming, construction and real estate remained comparatively low. The report notes that in-kind support continues to supplement household needs, particularly in rural areas.

The steady flow of remittances has also supported the Kenyan shilling by helping to strengthen the country’s foreign exchange position. Together with export earnings and external financing, diaspora inflows have reduced pressure on the currency during periods of global market uncertainty.

The KNBS report calls for measures to protect existing remittance channels while expanding sources of inflows beyond the United States. It states that Kenya should maintain relationships with its key remittance markets while exploring opportunities to attract transfers from additional countries.