Kenya Central Bank Outlines Process to Exchange Kshs 1000 Notes

Old Ksh 1000 notes

Data from Central Bank of Kenya reveal that is 217.6 million pieces of KES 1,000. CBK has issued an October 1 deadline for all persons o hand in the old Ksh.1,000 currency notes to tighten measures to ensure that illicit money does not have its way into the formal financial system.

In a press briefing on Monday, he said: “We are looking to withdraw each and every one of those bills. Not every bill is involved in an illicit transaction, but there is a fair amount of involved currency. If you do not know how the money came to you, then it’s fine, that becomes paper after October 1st and I cross it off my list.”

The central Bank governor had noted that the four-month period given for all persons to exchange the old generation one-thousand shillings notes is meant to ensure all citizens have the relevant information and enough time for the changeover and he will be liaising with other Central Banks across the region for collaboration in the fight against financial crimes in Kenya.

“I have just spoken to the CEOs and CFOs of commercial banks and micro-finance.  I will talk with foreign exchange bureaus and money remittance providers to make sure all this is dealt with. I will be communicating with our sister central banks to explain to them what we are doing and we need their cooperation. You do not need money going to other jurisdictions in order to return to this jurisdiction. It is their business to make sure that their jurisdiction is clean.”

How to Exchange the Ksh1000 notes.

1.For a value Less than Ksh 1 Million

People who want to exchange the old notes for a value of less than KES 1 million can do so at their bank branches. People without bank accounts can exchange at any branch of any bank, or even at the Central Bank. They will need to have official identification.

2. For a value Between 1 Million and 5 Million

People who want to exchange amounts between KES 1m and KES 5m will need to go to their own banks. Those who do not have bank accounts and want to exchange this amount will need to contact the Central Bank. We will then endorse them and they can go to a designated bank branch.

3. For a value of more than 5 Million.

People who want to exchange amounts above KES 5 million will need to contact the Central Bank which has already analysed that there are few individuals holding that kind of money.

Banks have until October 1 to recalibrate their machines to allow for dispensation of the new currency notes.

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