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CBK Introduces Tough Rules on Banks to Tame Dollar Crisis
Business

CBK Introduces Tough Rules on Banks to Tame Dollar Crisis

The Central Bank of Kenya (CBK) on Wednesday, March 22, introduced six new guidelines to commercial banks in a bid to ease the country's current dollar shortage In a statement, the CBK published Kenya Foreign Exchange Code (the FX Code), the guidelines were aimed at improving transparency in the foreign currency market According to the regulator, the guidelines would guarantee ethical and clear transactions to curb the relentless biting shortage. It will facilitate better functioning of the market, further reinforcing Kenya’s flexible exchange rate regime. The FX Code is intended to promote a robust, fair, liquid, open, and appropriately transparent market,” the statement read in part.  CBK instructed commercial banks to monitor all forex transactions and file compli...