In the wake of Corona Virus Pandemic in the country, the government has moved to ensure that cash received in Banks will not serve to spread the Corona virus.
Speaking to the press on Wednesday morning, CBK Governor Patrick Njoroge stated that the money will be quarantined for one week in a bid to contain the already circulating virus.
At the same time, the governor revealed that all banks will provide relief to borrowers on personal loans. He said banks have been instructed to extend personal loans to a period of up to one year.
The governor added that the Bank will also waive all costs for balance inquiry.
“To ensure the virus is not transmitted via cash, all cash exiting banks will be quarantined for 1 week. Mobile money transactions shall be enhanced with the limit per transaction now at Ksh. 150,000 & monthly limit of Ksh 1 Million eliminated,” stated CBK Governor Patrick Njoroge.
Also addressing the nation on the state of Corona Virus, President Uhuru Kenyatta urged Kenyans to shun away from other distractors and come together as one way of dealing with the pandemic.
At the same time, the head of state warned all the traders and businesses planning to take advantage of the situation to explore Kenyans that legal actions will be taken against them.
“We must play our parts as Kenyans. This is not the time to blame each other. To our businessmen and traders let us not take advantage of these unfortunate circumstances to make profits. We are going to take actions against you if we find you taking advantage of Kenyans,” warned the president.
And in a move to help alleviate the adverse effects, the following emergency measures will be put in place by the Central Bank:
Borrowers whose loan repayments were up to date as at March 2, 2020.
1. Banks will seek to provide relief to borrowers on their personal loans based on
their individual circumstances arising from the pandemic.
2. To provide relief on personal loans, banks will review requests from borrowers for
extension of their loan for a period of up to one year. To initiate this process,
borrowers should contact their respective banks.
3. Medium-sized enterprises (SMEs) and corporate borrowers can contact their banks
for assessment and restructuring of their loans based on their respective
circumstances arising from the pandemic.
4. Banks will meet all the costs related to the extension and restructuring of loans.
5. To facilitate increased use of mobile digital platforms, banks will waive all charges
for balance inquiry.
6. As earlier announced, all charges for transfers between mobile money wallets and
bank accounts will be eliminated.
CBK will closely monitor the implementation of these measures, particularly in light
of the fast-evolving nature of the economic impact of the pandemic.