The Central Bank

This is a bank which is entrusted with the responsibility of maintaining

economic stability and financial soundness of a country. It is therefore

entrusted with two objectives:

  1. Responsibility of maintaining financial soundness of the economy. The

  2. bank has therefore to identify gaps in financial markets and to seek

  3. solutions to these gaps.

  4. To act as a commercial bank. It therefore has to operate profitability

  5. when offering services to difference parties.

Establishment of Central Bank of Kenya

Established by Central Banking Act, 1966, and the Banking Act 1968.

Management of the Bank

Management and policy entrusted to a Board of Directors, comprising of seven

members including the Governor, Deputy Governor, and Ps to treasury. The

Governor of the Central Bank is the executive head of the bank. The Governor

in charge today is Michael Cheserem.