A seismic shift is underway in Kenya's currency production landscape as De La Rue, the venerable money printing firm, commences the winding down of its banknote printing operations within the country. This significant decision, which signals a major change for the nation's currency future, stems directly from the Central Bank of Kenya’s (CBK) reported cessation of new orders – a move that has now been controversially linked to a substantial tender quietly awarded to a foreign competitor. The implications are far-reaching, not least for the jobs directly impacted by De La Rue's departure.
The initial indicators of this change emerged in January 2023, when De La Rue publicly announced its expectation of receiving no new banknote orders from the CBK for at least a year. Consequently, the company initiated the process of closing its currency printing operations situated in Nairobi. This strategic wind-down was explicitly attributed to "current market demand, and no expectation of any new banknote orders from the Central Bank of Kenya for at least the next twelve months," underscoring the direct correlation between CBK's procurement decisions and De La Rue's operational viability in Kenya.
At the heart of De La Rue's quiet exit lies a reported Sh15 billion banknote printing tender that was awarded to a German company. This lucrative contract, crucial for Kenya's currency supply, was issued under circumstances that seemingly garnered little public attention at the time of its award. However, the procurement process has since attracted significant scrutiny. Notably, the Auditor General has flagged the contract, raising critical questions regarding the transparency and fairness with which the tender was secured. This official scrutiny casts a shadow over the transition, adding a layer of public accountability to what might otherwise appear as a purely commercial decision.
The wind-down of De La Rue's operations extends beyond mere business logistics; it carries profound implications for Kenya. For decades, the company has been an integral part of the country's economic infrastructure, and its departure inevitably puts jobs at risk, impacting skilled personnel and their livelihoods. Furthermore, it prompts a broader discussion about national currency production strategies, domestic industrial capacity, and the criteria governing high-value national tenders. The shift from a long-standing local operator to a foreign entity, particularly when shrouded in procurement questions, invites a closer examination of the nation's economic priorities and governance standards.
