Friday, September 6, 2019 – Central Bank Governor, Dr Patrick Njoroge, has revealed that about 100 million pieces of the old Sh1, 000 notes have been returned in exchange for the new generation currency notes.
Banks have collected more than 100 million pieces out of 217 million pieces that were in circulation when the demonetisation was announced in June 1st.
As the clock ticks away to the September 30 exchange deadline, Dr. Njoroge estimates that over 117 million pieces of the old notes are still in circulation and urged those still holding them to exchange them before they become mere paper.
“We expect to collect more notes as the deadline nears because most people like doing things the last minute,” he said.
Dr Njoroge warned that those holding illicit cash will find it impossible to launder it into the financial system hence the true picture will only be known on October 1st.
“Those notes will be mere papers come October 1. We have enough new notes in circulation,” he added.
Dr Njoroge also revealed that detectives at Directorate of Criminal Investigations (DCI) are examining cases of suspicious cash transactions that have been flagged by banks during the ongoing demonetisation exercise.
He stated that some of those cases are of people who wanted to change more than Sh5 million to new currency notes.
“We have shared the information we have gathered so far with the DCI for further investigations.”
“Our role as the regulator is to work with the investigating agencies to ensure that we achieve our goal,” Dr Njoroge said.