All eyes on CBK as Njoroge gives audit of Sh1,000 note demonetisation

Wednesday, October 2nd, 2019 11:00 |
CBK governor Patrick Njoroge. Photo/File

Central Bank of Kenya (CBK) Governor Patrick Njoroge will today give his analysis of the demonetisation process he announced during Madaraka Day celebrations on June 1.

By today, banks are expected to have provided the lender of last resort information to help it tabulate and analyse the process, from an informed position.

Estimated to have captured in excess of 100 million banknotes of the old Sh1,000 series, some analysts said CBK might not have met some milestones, especially since the whereabouts of the difference from the targeted 217.6 million units is not known.

But Kenyan economist Mohamed Wehliye said this is an indication that more money had been gobbled up in the process which is a good thing.

“I see some folks saying the demonetisation of the 1,000 note has failed because a big percentage of them have failed to return. Exactly the opposite!”  Wehliye, the Kenyan who is an advisor to Saudi Arabina Monetary Authority added on his twitter handle.

Demonetisation process

He added that the main objective of the demonetisation process was to force people with black money to suffer losses, adding: “The more money extinguished the better!”.

This even as a few voices still asked for extension long after the September 30 midnight’s deadline, but Njoroge as expected stuck to his guns, having warned he will not revise the deadline.

“Time is up! September 30 has come and gone. Bye bye and goodnight! That’s it,” he said on his twitter handle.

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