Kenya Concludes Comprehensive Risk Assessments in Financial Institutions

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Enhancing Understanding of Money Laundering and Terrorism Financing Risks

Kenya has made a significant breakthrough by successfully conducting comprehensive risk assessments for Terrorism Financing (TF), Virtual Assets (VAs) and Virtual Asset Service Providers (VASPs), as well as legal persons and arrangements. The assessments have greatly improved the understanding of money laundering and terrorism financing risks in the country.

Methodology

The risk assessments utilized a broad range of qualitative and quantitative data, sourced from various entities including:

• Law enforcement agencies
• Competent authorities
• Private sector organizations
• Public sources
• Open information

This collaborative approach has enabled Kenya’s National Risk Assessment (NRA) and competent authorities to gain a deeper understanding of the money laundering and terrorism financing risks that threaten the country.

Reports Published

The risk assessments have led to the publication of several reports, including:

• VA and VASP Risk Assessment Report
• TF Risk Assessment Report
• ML/TF Risk Assessment Report
• Updated ML/TF Risk Assessment Report
• Legal and Legal Persons Risk Assessment Report

These reports provide valuable insights into the money laundering and terrorism financing risks that Kenya’s financial institutions face.

Conclusion

The successful completion of these risk assessments demonstrates Kenya’s commitment to combating money laundering and terrorism financing, and its dedication to protecting the country’s financial system from illicit activities. The assessments are expected to inform:

• Policy decisions
• Regulatory frameworks
• Development of effective counter-measures to mitigate the identified risks