Sunday July 28, 2019-Central Bank Governor Patrick Njoroge has dismissed claims that the arrest of National Treasury Cabinet Secretary Henry Rotich has affected the Kenyan shilling.
Speaking to the press, Njoroge said that the fall of the shilling can be attributed to the seasonal demand of the dollars.
The CBK boss affirmed that the move is not in any way related to the recent events in the Cabinet after President Uhuru Kenyatta decided to name Labour Cabinet Secretary Ukur Yattani as the acting Treasury CS following Rotich’s arrest.
The remarks come after reports showed that the shilling had fallen by 0.8 per cent since the charges against Rotich to trade at 104.05 per dollar as per Thursday.
“I don’t know what a vacuum is in an institution like that. There are processes. There are mechanisms in place, and those mechanisms are executed. And it has to be done legally,” Njoroge stated.
He said that the fall in the shilling can be attributed to the high liquidity on the market. He also noted that said the increased demand for hard currency is the reason the shilling fell in the recent past.
Economic analysts have projected changes in the stock market after CS Rotich was arrested over Arror-Kimwarer Dam scandal.
The Kenyan DAILY POST