Companies, matatus lock out old Sh1,000 notes

Businesses across various sectors including retailers and e-commerce firms set Friday midnight as the deadline for accepting old Sh1,000 notes to give them time to bank by midday Saturday.

This is aimed at beating the closing times set by most banks which will in turn hand over the cash to the Central Bank of Kenya (CBK) for replacement.

Thika Road matatus posted notices warning passengers that the old Sh1,000 notes will no longer be acceptable after Friday while online marketplace Jumia instructed its agents not to receive the old notes starting Wednesday.

“Jumia will no longer accept payments using old Sh1,000 notes after September 25. Use the new notes, M-Pesa, Visa, Jumia Pay for all payments,” the e-commerce firm with 450 agency outlets across the country said in a notice on its website.

Africa-focused fast-food business Simbisa Brands, which operates Chicken Inn, Pizza Inn, Bakers Inn and Creamy Inn in Kenya set September 26 midnight as the cut-off date for accepting the old Sh1,000.

“Dear customer, as per the government directive, we will not be accepting the old Sh1,000 note as from September 26, 2019. Kindly use lower denominations or other means of payment,” it said in a text message to customers.

However, a survey at local retail chains Eastmatt, Naivas, Quickmart, Tuskys and Tumaini showed the old Sh1,000 currency notes were still being accepted until Saturday.

According to CBK data, the Sh1,000 current notes account for 83 percent of the Sh540 billion in circulation or Sh217 billion, which has seen it favoured by those making fake currency as well as people hiding their wealth from the scrutiny of the banking system.

Banks were last week on high alert after the CBK flagged 800 accounts of individuals who may attempt to clean their illicit money as the rush to exchange the old Sh1,000 notes entered the home stretch.