Fact check on Kenyan politician Musalia Mudavadi’s speech at his party’s delegates conference
In one book 2021 he co-wrote and co-edited, Outgoing Kenya central bank governor Patrick Njoroge defines independence of central banks as autonomy of the bank to do its job without political interference.
The book, 50 years of central banking in Kenya, recordings that the independence of Kenya’s central bank was “grossly compromised” before the 1996 changes the law that governs the bank and its operations.
Mudavadi was the Minister of Finances in 1996 when these reforms took place. At the time, the governor of the bank was Micah Cheseremwho served between 1993 and 2001. In his book, The will to succeedCheserem says that these changes to the law have been the cornerstone of the bank’s independence.
Cheserem also said he “teamed up with ‘Finance Minister’ Musalia Mudavadi, to carry out far-reaching economic reforms.”
“Our efforts to achieve independence for the CBK bore fruit after the enactment of the CBK (Amendment) Act No. 9 of 1996, which provided it with a high degree of autonomy,” writes -he.
“Other important features of CBK’s independence that flow from the amendments include limiting the level of government influence in the appointment procedures, terms of office and dismissal of the bank’s board of directors.”
Journal of the National Assembly shows Mudavadi launched the debate on the bill to give autonomy to the central bank on November 20, 1996. Other reforms took place through the Constitution of 2010according to Njoroge’s book.
We therefore evaluate the statement as generally correct. -Alphonce Shiundu