The Cabinet on Tuesday, July 18 took decisive action towards cracking down against individuals in Kenya involved in money laundering and those holding offshore accounts in foreign nations.
The responsibility for this crackdown will be entrusted to the Financial Reporting Centre (FRC), a government agency.
The FRC will have the authority to impose sanctions on those found guilty of proceeds of crime.
Conversely, the FRC will be empowered to request the revocation of a reporting institution's license in specific circumstances.
These significant measures were implemented following the Cabinet's approval of the Anti-Money Laundering and Combating of Terrorism Financing Laws (Amendment) Bill of 2023.
The new bill proposes hefty penalties for individuals caught violating cross-border currency declaration laws in line with the Financial Action Task Force (FATF) standards.
"The bill aligns the reporting requirement by making Reporting Institutions report suspicious transactions promptly," read the statement in parts.
Additionally, the bill introduces provisions for the licensing of insurance companies by amending the Insurance Act. Moreover, the bill mandates companies to maintain a register of beneficial owners, promoting transparency and accountability in corporate structures.
Some of the measures to detect and prevent money laundering activities in Kenya listed in the bill include; supervising and enforcing terrorism financing, reporting suspicious transactions, transparency of beneficial ownership, and combating terrorism financing.
In February 2023, Treasury Cabinet Secretary Njuguna Ngung'u granted the Kenya Revenue Authority (KRA) access to crucial data on secret bank accounts held by Kenyans in 106 foreign countries.
The cabinet also approved the introduction and accreditation of bridging courses. This is expected to enhance access to quality university education.
"The Ministry of Education will develop guidelines to support the implementation of the courses," read part of the statement.
The executive also approved the Climate Change (Amendment) Bill in line with the new administration's goal to plant billions of trees in 10 years. The bill is intended to regulate the country's carbon footprint.