Saudi Arabia which is officially known as the Kingdom of Saudi Arabia (KSA) has now become the fastest growing source of remittances into Kenya. The news is an indication to the fact that more and more Kenyans are migrating to the country located on the Arabian Peninsula in Western Asia. The increased migration is occurring at a time when there have been a number of allegations of cruel treatment and abuse of foreign domestic workers residing in Saudi Arabia.
Data based on the money sent through official channels, show that over the last two (2) years the remittances from Saudi Arabia have increased by more than two times the previous figures.
Data released from the Central Bank of Kenya (CBK) revealed that in the first eight (8) months of 2022, Kenyans living in Saudi Arabia sent a total of 188.79 million United States Dollars (USD) which is around 22.7 billion Kenyan Shillings.
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This now puts Saudi Arabia as the third (3rd) biggest source of the overall remittances sent to Kenya. The United States (US) takes first place with 188.8 billion Kenyan Shillings and the United Kingdom (UK) came in second with 25.4 billion Kenyan Shillings.
The remittance inflows have increased by as much as three quarters when compared to the 12.96 billion Kenyan Shillings (which is around 107.99 million United States Dollars (USD)) during a similar period last year (2021). This is indicative of a 144.35 percent when compared to the 9.27 billion Kenyan Shillings (which is around 77.26 million United States Dollars (USD)) that was achieved in 2020.
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It also makes it the fastest growth in the period.
According to reports, Saudi Arabia has a significant dependence on millions of foreign workers who are employed for jobs like security guards, Nannies, housemaids, drivers and caregivers. Said workers then send remittances back to their numerous home countries each year.
Of Saudi Arabia’s total population of 35 million, over thirty (30) percent of said population consists of immigrants. A significant portion of said immigrants, are from African countries as well as Asian countries.
Saudi Arabia has over the years, had to deal with concerns from human rights groups as a result of its visa sponsorship system which allegedly makes it possible for immigrant workers to experience exploitation and abuse.
Oman, Kuwait, the United Arab Emirates (UAE), and Bahrain, have also experienced similar criticisms.
Domestic workers who are immigrants, are allegedly placed under confinement by their employers, sexually assaulted, physically assaulted, forced to work for more than eighteen (18) hours every day, and sometimes deprived of their wages and food.
Data from the Central Bank of Kenya (CBK) showed that remittances received from Saudi Arabia are now set to surpass money wired from the United Kingdom (UK). It has already surpassed remittances received from South Africa which was previously the second largest source of remittances from Kenyans working abroad.
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The Foreign Affairs Principal Secretary; Macharia Kamau informed Members of Parliament (MPs) that there are more than 100,000 Kenyans in Saudi Arabia who are not engaged in non-domestic work.
According to the Foreign Affairs Principal Secretary, “Countries like Saudi Arabia, their traditions around house work are very ‘ancient’ so you find people who suffer terrible beatings and abuse are usually house helps.”
He added that, “In that same country where we have over 100,000 Kenyans working in different capacities, hotels, taxis, they have no problem. So we have to ask ourselves if we are exporting the right category of personnel and do they have the right capacity and training to understand that culture.”
The Kafala system also known as the visa sponsorship rules essentially ensures that migrant workers in countries where it is implemented, are stuck with their employers and are unable to leave said country without permission or even change their jobs.
This has resulted in numerous cases of migrant workers being abused and experiencing things from being beaten, to wages not being paid, to passports getting confiscated, to excessive work hours and even rape.
The Kenyan government came under fire a number of times as citizens demanded that security measures be put in place that would protect them and reduce the occurrence of going outside the country for jobs, by creating job opportunities.
Included in the 3.3 trillion Kenyan Shilling budget for the financial year which will end in June 2023, was a 374 million Kenyan Shilling expenditure approved by lawmakers, for the construction of a safe house in Riyadh which is the capital of Saudi Arabia.
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The safe house will offer safety to any Kenyan workers that face abuse in that country.
Remittances received from Saudi Arabia reached a monthly record of 3.19 billion Kenyan Shillings (which is around 26.7 million United States Dollars (USD)). This is significantly higher than the 1.99 billion Kenyan Shillings (which was around 16.57 million United States Dollars (USD)) that was the case in the same month from 2021, and the 1.25 billion Kenyan Shillings (which is around 10.43 million United States Dollars (USD)) that was received in August of 2020.
This has solidified its current position as the third 3rd) biggest source of the remittances sent back to the country by Kenyans living abroad. It is only behind the United States (US) and the United Kingdom (UK).
The remittances from the United States (US) and the United Kingdom (UK) have experienced declines as a result of inflation levels which are at the highest they have been in decades and have negatively affected their earnings and spending power.
Remittances from Kenyans living in the United States (US) have grown at a slower pace of 12.17 percent in the eight (8) month period under review, to 187.82 billion Kenyan Shillings which is around 1.565 billion United States Dollars (USD).
For the United Kingdom (UK) remittances reduced by 11.10 percent to 25.44 billion Kenyan Shillings which is around 210.97 million United States Dollars (USD).
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In the January to August 2022 period under review, remittances overall increased by 11.44 percent year on year to reach 320.94 billion Kenyan Shillings which is about 2.68 billion United States Dollars (USD). This amalgamates its current spot as the number one earner of Forex for Kenya. It is even ahead of tourism, horticultural exports, and tea exports.
A pledge has been made by President William Ruto to set up a ministry aimed at tackling issues that affect Kenyans in the diaspora as he sets up his government.
President William Ruto stated that, “The focus has been on remittances, while their fundamental rights as citizens have been neglected,” Dr Ruto said on September 13. “To correct this oversight, I pledge to elevate diaspora issues at a ministry level.”
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