The period Kenyans were given by the Central Bank of Kenya (CBK) to change the old generation Sh1,000 banknotes is almost over.
In a week’s time, the old generation notes will cease to be legal tender, although CBK Governor Patrick Njoroge on Tuesday said that it will not be illegal to have them.
“There is no penalty for holding the older Sh1,000 notes after September 30, but you will have lost the value of your money,” the governor said.
While addressing the press, the CBK governor revealed that all the old generation Sh1,000 notes are being destroyed as they are received by the bank.
“Once the old Sh1,000 notes are returned, we cross them off our register, and destroy them as per usual protocol,” he said.
CBK ordered the return of the old generation notes during Madaraka Day celebrations on June 1, 2019 when the new generation banknotes were unveiled.
The introduction of the new banknotes was meant to disrupt the multi-billion shillings fake currency business in Kenya and across the region.
The CBK boss further urged traders to speak to their banks to ensure that their old Sh1,000 notes are received by close of business on Monday September 30.
Dr Njoroge also said all anti-money laundering and combating of financing of terrorism (AML-CFT) checks will remain when currency conversions are happening.
“We have worked with the prison authorities to convert any currencies they are holding on behalf of inmates. We have also worked with the Judiciary on money which may be held as court exhibits,” he said.
For the last one month, CBK has been on a countrywide sensitization campaign ahead of the deadline for the demonetization of the old-generation Sh1,000 banknotes.
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