2025-04-08

Banking Circular No. 2 of 2025 - Changes to the CBK Discount (Overnight) Window Facility

The Central Bank of Kenya (CBK) has announced changes to the CBK Discount (Overnight) Window Facility. The Monetary Policy Committee (MPC) reviewed and approved these changes on April 8, 2025, aiming to enhance monetary policy transmission and augment reforms announced earlier. Key changes include adjustments to the applicable interest rate and the continuation of securing advances with Government of Kenya securities, while existing terms for the Intra-day Liquidity Facility (ILF) remain unchanged. This circular supersedes all previous circulars on the subject matter and takes effect immediately, as communicated to all Chief Executives of Commercial Banks and Microfinance Banks.

Kenya

Central Bank of Kenya

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