Uhuru to pick new Central Bank governor from list of three
The Central Bank of Kenya headquarters in Nairobi. The Central Bank could be forced to raise its benchmark lending rate to 10 per cent before the end of the year in order to tame rising inflation. FILE PHOTO | NATION MEDIA GROUP
What you need to know:
The upcoming recruitment comes after Prof Njuguna Ndung’u retired after serving as CBK governor for two terms.
President Uhuru Kenyatta has said he will pick the next Central Bank of Kenya (CBK) governor after a competitive process that will present him with three potential candidates.
The Presidency Spokesman Manoah Esipisu made the announcement today in a press statement. He said that besides the CBK governor, the president will also appoint the institution’s chairman and second deputy governor.
“A recruitment panel will forward a list of three for each position. In due course, the president will then choose his nominee for each position, and let parliament consider confirmation. We will be glad to announce the names to you at an appropriate time,” Mr Esipisu said.
The upcoming recruitment comes after Prof Njuguna Ndung’u retired after serving as CBK governor for two terms.
Owing to delays in enacting new CBK laws, President Kenyatta still has sole powers to hand pick Prof Ndung'u's successor. Proposed amendments to the CBK Act call for competitive recruitment of the regulatory body's boss.
The proposed laws call for competitive recruitment for a CBK governor to shield the crucial institution from political interference and ensure that only the most competent candidates are selected.
The CBK board will also not participate in the appointment process, further narrowing the president's President's path to finding a new governor. According to analysts, the board’s involvement was the surest way in which Mr Kenyatta would meet the stringent requirements that were put in the Central Bank law through a 2012 amendment.
If it were involved, the board would be required to advertise the job, shortlist and interview candidates before forwarding two or three names to Mr Kenyatta to pick from.
