Regulatory Alerts2016-08-12
Microfinance Banking Circular No 1 of 2016 - Implementation of Communications on Specified Entities
This circular from the Counter Financing of Terrorism Inter-Ministerial Committee requires all chief executives of microfinance banks in Kenya to comply with the Prevention of Terrorism Act and related regulations. The purpose is to inform banks of a list of specified entities, which are subject to immediate account freezing and cessation of financial services. Institutions must also file suspicious transaction reports with the Financial Reporting Centre (FRC) within 48 hours of receiving this circular and provide an update on actions taken to the Central Bank. In case of queries or clarifications, please contact the Director of Bank Supervision at the Central Bank. This is in response to a government announcement declaring certain entities as specified entities under the Prevention of Terrorism Act.