Sh88 billion Eurobond cash came to Kenya, says CBK

The Central Bank of Kenya./MONICAH MWANGI
The Central Bank of Kenya./MONICAH MWANGI

The government has provided evidence Sh88 billion from the Eurobond was transferred to the CBK from the Federal Reserve Bank of New York.

The Central Bank of Kenya on Tuesday provided the Treasury with copies of the swift transfers showing the money left New York for Nairobi between September 8 and 10, 2014.

Cord leader Raila Odinga has previously said the money did not come to Kenya and had asked the Treasury to account for it.

Documents showing all the swift transfers relating to the Eurobond are attached to a letter from the CBK to Treasury PS Kamau Thugge.

The letter dated January 26 is signed by acting director of financial markets John Birech and M. Muthui, an authorised signatory.

The documents show the Treasury on September 3 asked the CBK to close down the Eurobond account at JP Morgan Chase and Citi Bank.

It gave instructions to JP Morgan on the transfer of the balance of $999 million (Sh88 billion) on September 8, 2014.

In a press statement in yesterday’s newspapers, the CBK explained how it runs accounts on behalf of the government.

On September 10, 2014, the Federal Reserve Bank of New York sent a confirmation of credit to the CBK through the intermediary JP Morgan.

The swift transfers show the account balance at JP Morgan Chase was $0 as at September 10, 2014, when the $999 million was transferred to Kenya.

The CBK said it has an account at the Federal Reserve Bank of New York, not the government.

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