ADVOKS GLOBAL · KENYA
Building Societies Act
29A. Minimum holding of liquid assets
Edition: 2022-12-31 · In force
29A. Minimum holding of liquid assets
(1)Notwithstanding the provisions of this Part or any rules made thereunder, a building society shall maintain such minimum holding of liquid assets as the Central Bank shall, from time to time, determine.(2)For the purposes of this section, "liquid assets" means all or any of the following—(a)notes and coins which are legal tender in Kenya;(b)balances held at the Central Bank;(c)balances in banks, financial institutions and other building societies in Kenya, after deducting therefrom balances owed to those banks, financial institutions or other building societies;(d)Kenya treasury bills and bonds of a maturity not exceeding ninety-one days which are freely marketable and rediscountable at the Central Bank;(e)such other assets as the Central Bank may, from time to time, specify.(3)A building society which fails to comply, with any of the requirements of subsection (1), within such period as the Central Bank may specify, shall be liable to a penalty interest charge not exceeding one per cent of the amount of the deficiency for everyday on which the offence continues.