The Central Bank of Kenya (CBK) has reassured the placement of mid-tier Imperial Bank under receivership would not affect the banking industry.
Governor, Dr. Patrick Njoroge said the lender, which has locked more than Kshs.58billion of customers’ deposits, represents about 1.8 per cent of the sector, and should not be a matter of concern.
The banking sector, he insisted yesterday, is “safe and robust”.

In a statement, Dr. Njoroge said: “CBK stands ready to use all instruments at its disposal to provide adequate liquidity support to the banking system to ensure its stability and robustness at this time.”
The bank was shut on Tuesday after its board raised concerns over “unsound banking practice”.
The reasons are yet to be made public, but sources at the bank said there have been cases of fraud.  Some said a former Chief Executive Officer may have been running a “parallel banking system”.
State owned Kenya Deposit Insurance Corporation has taken over at the bank, initially for a maximum of one year.
========================== END ========================================