2023-10-18

Banking Circular No. 12 of 2023 - Dissemination of ML-TF-PF Sectoral Risk Assessment

The Central Bank of Kenya (CBK) has conducted a sectoral risk assessment, classifying commercial banks, microfinance banks, money remittance providers, forex bureaus, digital credit providers, and payment service providers into six sectors. The banking sector is found to have the highest vulnerability to money laundering, terrorist financing, and proliferation financing due to its size and importance in Kenya's economy. In contrast, digital credit providers pose the least risks. CBK's findings are intended to inform financial institutions' institutional risk assessments and application of a risk-based approach (RBA). A sectoral risk assessment report is provided for reference and action.

Kenya

Central Bank of Kenya

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