Amani National Congress (ANC) leader Musalia Mudavadi has lauded the Central Bank of Kenya for recalling of Sh1000 tender bills.
Speaking when he was accorded a honorable address during the Madaraka Day celebrations in Narok on Saturday, CBK Governor Patrick Njoroge said that the notes will cease being legal tender on October 1st, 2019.
While seconding the move, Mudavadi now says that the government is now in a better position to nab its corrupt officials by simply having a keen eye on them.
He said that the nation should expect a great confusion in the next few days as corrupt officials with huge amounts of monies stashed in their homes attempt to dispose it off.
He predicted a situation where people with unexplained money will attempt to buy properties to beat the deadline, and others attempting to buy dollars and introducing the money into the banking system.
“There will be a rush for those with large unexplained cash to introduce it into the system, but this will be easily noticed. If the government is keen it will then get those who had plundered resources and hid the cash,” he was quoted by the Standard.
He now wants the CBK to encourage cashless transactions to further worsen the situation for the corrupt.
Njoroge, however, said that the 50, 100, 200 and 500 shilling notes will remain in rotation, saying that the institution has realized that the Sh1000 note is being used for illicit financial flows.
“To deal conclusively with these concerns, all the older one thousand shillings series shall be withdrawn. By a Gazette Notice dated May 31, all persons have until October 1, to exchange those notes, after which the older one thousand shillings banknotes will cease to be legal tender,” he said.
Njoroge spoke when he introduced the newly designed note denominations, in an event that was also attended by Mudavadi and President over by President Uhuru Kenyatta.