The Central Bank of Kenya (CBK) has advised parents to give their school-going children the new generation Sh1,000 banknotes as pocket money.
In a statement shared via Twitter, CBK explained that this move will safeguard the students from losing the value of their money when the deadline for the old generation notes kicks in on September 30.
Schools will open in the first week of September and the students are expected to remain in school for the next three months, well after the deadline of the old generation notes.
“They will not be able to use the old notes after September 30,” the statement reads in part.
CBK has also issued a similar circular to employers who pay monthly salary in cash and chama contributors.
OLD BANKNOTES
President Uhuru Kenyatta launched the new generation notes during the 56th Madaraka Day celebrations in Narok on June 1, 2019.
The move, Kenyatta confirmed, was aimed at taming corruption and counterfeit notes.
While the Sh1,000 notes will become worthless by October 1, CBK Governor Patrick Njoroge confirmed that the Sh50, Sh100, Sh200 and Sh500 notes will be phased out slowly.
“The emergence of counterfeits has become a great concern. All the Sh1,000 notes were withdrawn by a gazette notice on Friday. Those in the possession of the bank notes have to release them,” said Njoroge.
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