The Kenyan shilling weakened on Wednesday, pushed down by increased U.S. dollar demand from retail importers.

The shilling traded against the dollar at an average of 103.80 dollars, where it stood at the end of last week, from an average of 103.70 on Tuesday.

The shilling held firm on Monday and Tuesday following the peaceful conclusion of repeat polls but analysts noted that besides the political climate, dollar demand would also affect its performance going forward.

On Wednesday, the Central Bank of Kenya quoted the local unit at 103.75 down from a strong position of 103.69 on Tuesday.

On the other hand, commercial banks placed the shilling against the greenback at between 103.80 and 103.90 down from 103.60 and 103.80.

Trades at the financial institutions blamed the fall on increased imports especially by manufacturers following the conclusion of repeat polls on Oct. 26.

Oil traders, similarly, have intensified end of the month imports, a move that is also putting pressure on the shilling.

Against the British pound, the shilling on Wednesday similarly declined to 137.44 down from 136.56, a trend it continued from Tuesday, where it went down 0.72 percent.

On a year-to-date basis, the shilling has depreciated against the dollar by 1.1 percent but the East African nation has plenty of forex reserves, at 7.3 billion dollars, to support the currency, according to the apex bank.