Kenya to adopt regulatory mobile phone banking legislation
Kenya is set to adopt a series of laws aiming to regulate new areas of its financial sector, and particularly mobile banking. The new legislative package includes a project aiming to safeguard the integrity of electronic information and which officially recognizes the expanding electronic payments market. Another initiative dubbed Proceeds of Crime and Anti-Money Laundering is currently being examined by the Kenyan parliament and deals with AML prevention and other payments-related crimes.
Representatives of the Kenyan authorities have indicated that mobile banking is one among a range of similar technologies which has the potential to help low-revenue underbanked and unbanked Kenyans living in marginalised areas of the country. Out of Kenya’s 36 million population, only around 6.3 million individuals own traditional bank accounts, thus creating a significant market for mobile operators which provide mobile banking and payments services.