Financial Crime World

KENYA URGED TO STEP UP EFFORTS IN COMBATING MONEY LAUNDERING

Strengthening Efforts to Combat Money Laundering

NAIROBI, KENYA - In a bid to combat money laundering and maintain the integrity of its financial system, the Kenyan government has been urged to strengthen its efforts in conducting thorough customer due diligence measures.

Recommendations for Improvement

  • Obtain and verify customer identification documents
  • Conduct ongoing monitoring of customer activities
  • Implement risk-based approaches to identify and mitigate potential money laundering risks
  • Strengthen international partnerships with other countries to facilitate information sharing and joint investigations

Challenges Facing Kenya’s Efforts

Recent Reports of Money Laundering

Recent reports have indicated that syndicates have been using Kenya as a hub for laundering stolen funds from the US COVID-19 pandemic relief efforts.

Solutions Proposed

  • Increase funding for enforcement agencies and regulatory bodies
  • Strengthen international partnerships
  • Raise awareness about the risks of money laundering
  • Enhance the regulatory framework
  • Combat corruption within the public and private sectors

“The fight against money laundering requires a comprehensive and coordinated approach involving government agencies, financial institutions, international partners, and the public,” said Kiptot Ivy Chepkorir, an expert in financial crime.

Global Monitoring of Kenya’s Efforts

Kenya’s efforts to combat money laundering are being closely monitored by the global community, with many experts calling for increased cooperation and coordination among stakeholders to effectively disrupt and prevent criminal activities.

References

  • United Nations, UNODC ROMENA, “Money Laundering”
  • UN Vienna Convention on Money Laundering, Art 3(1) (1988)
  • PROCEEDS OF CRIME AND ANTI-MONEY LAUNDERING ACT, CAP 59B,2012
  • Banking Act, CAP 488
  • “Syndicates launder stolen US COVID-19 funds in Kenya” Willis Okumu, Mohammed Daghar, 18th May 2023
  • “Effects of money laundering in Kenya” Kiplagat Toroitich 2020
  • Financial Crime Academy, “The Three stages of Money Laundering”
  • Financial Reporting Centre (www.frc.go.ke)
  • Central Bank of Kenya (https://www.centralbank.go.ke)
  • “Detecting and investigating money laundering in Kenya” ISS Africa
  • “Fighting Money laundering, the challenges in Kenya” HBP Moshi
  • “Kenya must up its game in the fight against Money Laundering” TIK Kenya