Following the roll-out of the new currency unveiled on Madaraka Day, Kenyan banks will now be forced to reconfigure their Automated Teller Machines as well as acquire new cash counting machines that will be able to accommodate the new currency.
The small nature and new features of the currencies prompt the need for ATM upgrades and new money counting machines found in teller booths to verify cash amounts and capture counterfeits.
Automated teller machines (ATMs) around the country should, therefore, be able to accommodate the new Ksh 1,000 notes before the October 1 deadline.
Reports by Business Daily affirmed that the Kenya Bankers Association (KBA) indicated that banks were working with the Central Bank of Kenya (CBK) to ensure the adjustments are done quickly for a smooth transition.
KBA Chairman Habil Olaka highlighted, “There is the returning of the cassettes where notes are held in the ATMs and then there is the software upgrades, especially for more sophisticated machines like the ones that take deposits.”
“The degree of work each type of machine will require will vary the cost implications, but we are committed to making sure there is minimal disruption of regular services,” he affirmed.
The CBK redesigned the 1, 5, 10 and 20 shilling coins in December 2018 and begun releasing the new 50, 100, 200, 500, and 1,000 shilling notes in the second phase of the transition to the new currency.
The introduction of the new currency notes was in a bid to not only tackle illicit financial flows but also cash counterfeiting as well as to arrest tax cheats.
With Kenya being the most advanced economy in the region, CBK will, therefore, coordinate the move to scrap the banknotes with its counterparts in the region as Kenya’s currency is widely accepted and used to make transactions.
