Central Bank of Kenya seeks to mop up 20 bln shillings

Kenya’s central bank sought to mop up 20 billion shillings ($195.79 million) from the market on Tuesday, saying there was excess liquidity.

The action, which usually involves the deployment of repurchase agreements (repos) and term auction deposits, is a departure from recent weeks, when the bank has been actively offering liquidity to banks using reverse repos.

The bank said the interest rate offered by the mop-up would be determined competitively within a set ceiling. ($1 = 102.1500 Kenyan shillings)