CBK Warns Against Using Banknotes for Cash Flowers and Decorations

Central Bank of Kenya (CBK) has noted a growing trend in the use of Kenya Shilling banknotes for decorative and celebratory purposes, including the preparation of cash flower bouquets, ornamental displays, and similar arrangements.

In a statement, CBK said in many instances, banknotes are folded, rolled, glued, taped, stapled, pinned, or otherwise affixed using adhesives and fastening materials.

CBK stated that such practices compromise the integrity of Kenya Shilling banknotes and render them unsuitable for circulation.

“The use of adhesives, pins, staples, and similar materials damages banknotes and interferes with the efficient operation of cash-handling and processing equipment, including automated teller machines (ATMs), cash counting machines, and sorting equipment. This results in increased rejection of banknotes during processing and leads to the premature withdrawal and replacement of currency, at an avoidable cost to the public and the Bank,” CBK said.

CBK Explains Using Cash as a Gift

CBK explained that while it does not object to the use of cash as a gift, such use should not involve altering, damaging, or defacing banknotes.

The bank added that currency should remain in a condition that allows it to circulate freely and serve its functions as a medium of exchange, a unit of account, and a store of value.

“While CBK does not object to the use of cash as a gift, such use should not involve any action that alters, damages, or defaces banknotes. Currency should remain in a condition that allows it to circulate freely and perform its intended functions as a medium of exchange, unit of account, and store of value,” CBK said.

Also Read: How to Register an M-Pesa Business

What the Law Says

CBK reminded the public that Section 367 of the Penal Code (Cap. 63, Laws of Kenya) prohibits the defacement, mutilation, or impairment of currency notes.

The bank added that anyone who willfully defaces, mutilates, or otherwise impairs any currency note issued by a lawful authority commits an offence under the Penal Code.

Also Read: CBK Licences 42 More Digital Lending Platforms: Full List

“CBK wishes to remind the public that Section 367 of the Penal Code (Cap. 63, Laws of Kenya) prohibits the defacement, mutilation, or impairment of currency notes. Any person who willfully defaces, mutilates, or in any way impairs any currency note issued by a lawful authority commits an offence under the Penal Code,” reads another part of the statement.

“CBK therefore urges the public to refrain from practices that compromise the integrity of Kenya Shilling banknotes and to adopt alternative, non-damaging methods when presenting monetary gifts.”

Follow our WhatsApp channel for instant news updates