Based on the tough experience of surges in crude oil prices during two oil crises in the 1970s, manufacturers have taken initiatives since the 1980s to cut costs and streamline production processes, for example, by introducing production robots. In the face of globalization, large manufacturing firms exposed to severe competition, in particular, have continued to make such efforts.
The Central Bank is therefore reviewing currency management to ensure availability of “clean money” at a reasonable cost to Kenyans. The Bank is, in conjunction with the Kenya Bankers Association (KBA), exploring the establishment of currency centres. These centres are expected to reduce the operational costs incurred by banks in moving cash to existing Central Bank branches.