CBK reacts to a statement by economists that Kenyan deposits in banks are not safe due to liquidity issues


Thursday, November 14, 2024 - The Central Bank of Kenya (CBK) has responded to reports by some economists alleging serious liquidity issues in the country's banking sector.

On Wednesday, some economists and bank employees claimed on social media that there was limited capital and liquid currency circulating in the economy.

However, CBK termed the report as malicious and erroneous and encouraged customers to continue transacting as usual.

"CBK has not issued any press release, or other information with regard to the operation of the banking sector or any other element of its mandate. 

"We thus advise the public to disregard any such purported information. 

"The intent behind these malicious attempts is usually to induce panic, leading to action which may destabilise the market. 

"We wish to emphasise that creating or circulating such information is in contravention of several laws including the Computer Misuse and Cybercrimes Act, and will lead to criminal prosecutions," read the CBK statement in part.

CBK's statement was buttressed by the Kenya Bankers Association, which termed the reports misinformation and called on the public to disregard unofficial communications.

The Kenyan DAILY POST

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