Regulatory Alerts2015-07-24
Banking Circular No 10 of 2015 - Interbank Foreign Exchange Market
The Central Bank of Kenya has announced changes and clarifications related to inter-bank market operations, aiming for efficiency and transparency in the foreign exchange market. Effective immediately, minimum trade value is set at USD 500,000, trading hours are from 8:30 AM to 4:30 PM Monday through Friday, and the maximum spread between indicative two-way quotes should not exceed KES 20 cents. Additionally, banks must reflect their most current rates on Reuters' or Bloomberg's screens during trading hours.
KENYA July 23rd, 2015 Haile Selassie Aver P. O. Box 60000 - 00200 Nairobi, K Telephone: 2860000, Fax: 34019 BANKING CIRCULAR NO.10 OF 2015 TO: ALL CHIEF EXECUTIVES OF COMMERCIAL BANKS AND MICRO FINANCE BANKS
Inter-Bank Foreign Exchange Market
The Central Bank of Kenya announces the following changes and clarifications related to the inter-bank market operations to promote efficiency and transparency in the foreign exchange market :-
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Minimum price for inter-bank trade shall be USD 500,000 2. Inter-bank Foreign Exchange Market dealing time starts at 8:30 am and ends at 4:30 pm from Monday to Friday.
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Maximum spread between the indicative two-way quote shall be KES 20 Cents.
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Bank's indicative two-way quote on Reuters's or Bloomberg screen must reflect the most current rates during trading hours.
This notification takes effect immediately.
GERALD A. NYAOM DIRECTOR FINANCIAL MARKETS