Central Bank Releases Ksh 5 Billion to the Government

The Central Bank of Kenya (CBK) announces that on February 17, 2021, it transferred Ksh.5,000,000,000 to the Government Consolidated Fund.

The funds are an exceptional distribution from CBK’s General Reserve Fund (GRF) in the current Financial Year 2020/2021.

The transfer is in accordance with Sections 9 and 51 of the CBK Act, and followed approval by the CBK Board.

The transfer was executed by crediting the Ministry of Finance’s Deposit Account at CBK.

The CBK Board authorized the transfer during its discussion of the unaudited Financial Statements for FY2020/2021 as at December 31, 2020, noting the very exceptional circumstances caused by the global pandemic.

In particular, the CBK Board also considered CBK’s financial needs with the objective of ensuring CBK is well-resourced to deliver on its mandate.

All government expenditure is made from this fund, except exceptional items which are met from the Contingency Fund or the Public Account.

However, no money can be withdrawn from this fund without the Parliament’s approval.