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Entry of what is commonly considered as real currency in Kenya can be traced back to 1800 - 1850 when the Maria Theresa Thalers were introduced in the Kenyan coast. The Thalers were 18th and 19th Century silver coins used by Indian, Greek and European merchants at the Eritrean and Kenyan coasts. Despite the Thaler’s popularity in the East African Coast, it was not able to penetrate upcountry.
The Indian Rupee which was used for payment of Indian workers during the building of the Kenya – Uganda railway in 1896 and managed to move inwards becoming acceptable by the African population who in various mother tongues called it different names such as “Rupia” or “Pesa”.
In 1897 Harry Jackson the leader of the British East African Protectorate (B.E.A.P.) introduced a new currency called “Specie” and “Pice” but it was not successful and hence in 1905 the Indian Rupee was made the official currency of the B.E.A.P. (Kenya- Uganda). They were in the following denominations.
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COINS |
NOTES |
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1/2 Cent |
1 Rupee |
| 1 Cent |
5 Rupees |
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5 Cent |
10 Rupees |
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10 Cent |
20 Rupees
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20 Cent |
50 Rupees |
| 50 Cent |
100 Rupees |
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500 Rupees |
ESTABLISHMENT OF THE EAST AFRICAN CURRENCY BOARD (EACB)
The Indian Rupee was abolished after Kenya became a crown colony in 1920 when the Imperial British East Africa’s (IBEA) mandate was terminated. A central body known as the East African Currency Board was then established to oversee the issuance of currency in the region. The Board comprised of four commissioners who reported to the secretary of state for colonies under the advisory of the Bank of England. Replacement of the Indian Rupee was to be done using the East African Protectorate Rupees. This was however short-lived as the East African Florins were instead introduced.
THE EAST AFRICAN SHILLING
On January 1, 1922 the shilling equivalent was introduced in all the three East African countries and by June 1923, the E.A. shilling was firmly established as official currency in Kenya, Uganda and Tanganyika.
CURRENCY AFTER INDEPENDENCE
In 1964 after the independence of Kenya, Uganda and Tanganyika, there was a desire to establish a common East African Central Bank. Interim currencies were therefore introduced by the EACB to circulate within the region. For banknotes, the interim currency was commonly known as the Lake Victoria Money because of the background of Lake Victoria on the notes. The Lake Victoria designed notes were in the denominations of 5, 10, 20 and 100 shillings. There were also a number of coins minted and referred to as the “Uhuru” coins since they too had no head or monarch on them.
ADVENT OF THE KENYAN SHILLING
Kenya began printing and minting its own currency in 1966 under the mandate given to the Central Bank of Kenya in the Central Bank of Kenya Act cap 491. The initial issue of Kenya shilling notes were in the denominations of 5, 10, 20, 50 and 100 shillings, all bearing the portrait of the First President of Kenya, H.E. Mzee Jomo Kenyatta in the front, and diverse scenes of economic activities in Kenya at the back.
Denominations have progressively changed since then. Current denominations of banknotes and coins in circulation are as follows:-
Coins – 5cent, 10 cent, 50 cent, 1 shilling, 5 shilling, 10 shilling, 20 shilling and 40 shilling
Notes – 50 shilling, 100 shilling, 200 shilling, 500 shilling and 1,000 shilling.
More details on the History of Kenyan Currency can be found by contacting the Bank.
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