CBK whips banks to unlock dollars after President Ruto warning

The Central Bank of Kenya (CBK) has spooked banks with a new foreign exchange code that comes with threats of punitive fines and licence suspension for offenders, on a day President William Ruto warned traders hoarding dollars to expect losses in a few weeks.

The foreign exchange code, among others, prohibits banks from engaging in trading practices, quoting prices or making transactions with the intention of manipulating price movements or disrupting the functioning of the market.