The Kenyan shilling was largely stable against the U.S. dollar on Monday but was expected to decline in the short-term due to rising demand for the greenback.

The local unit traded against the dollar at an average of 100.45, the same level it ended on Friday last week.

The Central Bank of Kenya placed the shilling at 100.43 to the dollar, a negligible decline from 100.44 in the previous session.

Commercial banks in the East African nation, on the other hand, quoted the shilling at between 100.30 and 100.45, the same level it ended on Friday.

Forex traders attributed the stability to steady inflows but noted that the shilling was going to decline following increased liquidity of the local currency.

Against the British pound, the shilling went down 0.38 percent to close at 136.31 from 135.79 in the previous session.

Last week, the Kenyan shilling depreciated by 0.2 percent against the dollar to close at 100.45, from 100.20 the previous week as a result of increased dollar demand from oil importers.