This archive report was first published on 25 September 2019.
As the deadline for exchanging old Sh1,000 bills draws near, a surge in wheat purchases in Narok county has caught the attention of the Central Bank of Kenya (CBK). The unusual activity has left farmers in Narok smiling, with many selling their wheat to individuals looking to clean their dirty money.
According to CBK Governor Dr. Patrick Njoroge, the influx of wheat buyers is a concern. Speaking on Tuesday, he said, “Currently we have a problem with Narok now they are harvesting their wheat and so we have seen an influx of purchasers who are purchasing wheat and they are quite a concern to us.”
The CBK has maintained that the deadline for exchanging old Sh1,000 bills will not be extended, with Kenyans having until September 30th to discard the old currency. Dr. Njoroge emphasized that demonetization has been going well, but warned that millions in old notes held as exhibits by courts across the country risk being demonetized if not exchanged.
With the phase-out of the Ksh1000 note aimed at combating counterfeits and money laundering, Kenyans can expect to see unusual market behavior as people rush to clean their dirty money over the next week.
