However, such features remained on notes and coins currently in circulation after CBK missed the planned August 2015 deadline in violation of the clause.
Such notes are coins are now going to be a thing of the past after President Kenyatta today launched a new generation of Kenyan currency in accordance with Constitution.
“We shall also be unveiling a set of new generation coins which are compliant with our 2010 constitution. I am extremely pleased that today we can achieve another milestone,” said President Uhuru Kenyatta.
“I am informed that the new generation coins continues the tradition of depicting an aspect that best describes our country,” he added.
The CBK had appealed the cancellation of the Sh10 million annual contract. Justice George Odunga on April 12 quashed the tender saying it was awarded unlawfully.
Odunga’s ruling followed a suit by Activist Okiya Omtatah who argued that De La Rue did not qualify for the 15 per cent margin of preference, the basis on which it won the tender.
The activist argued that the British firm was not a preferred local supplier as it was not registered in Kenya as such.
On January 12, the Public Procurement Administrative Review Board (PPARB) cancelled the tender saying CBK erred by applying the 15 per cent margin preference.
The CBK, however, challenged the decision at the Appeals Court leading to the October 12th ruling.
The bank argued that De La Rue was locally registered but only sub-contracted its affiliate De La Rue Kenya for in the printing contract.
De La Rue, in a statement, welcomed the Appeals Court ruling saying it was delighted with the verdict.
“We have maintained throughout the process that the CBK had run a proper, fair and transparent procurement, and the court has today confirmed that view, as well as dismissing baseless accusations of collusion out of hand,” marketing director Robin Mackenzie said in a statement.
De La Rue has had a presence in Kenya for over 25 years, a fact the court relied on in its ruling to dismiss the accusation that it was unfavorably granted the 15 per cent margin preference.
Mackenzie said the firm is currently investing Sh286 million in the expansion of its site in Ruaraka on Thika Road to strengthen and underpin its local operations.
“This is part of a long term investment of Shh1.4 billion to upgrade the site to become a regional hub for East Africa and the wider continent and a Global Centre of Excellence for De La Rue,” Mackenzie said.
According to CBK estimates, the replacement of the old currency notes will cost Sh18 billion.
The Constitution-compliant new generation bank notes will be in 50, 100, 200, 500 and 1,000 shilling denominations.
Their introduction will be followed by phased withdrawal of the old generation notes.