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The Central Bank Kenya was established in 1966 through an Act of Parliament – the Central Bank of Kenya Act of 1966. The establishment of the Bank was a direct result of the desire among the three East African states to have independent monetary and financial policies.Pic:Photo Courtesy
BANKING SYSTEM IN KENYA FACING TURBULENCE
Finance, developing various aspects such as banks, saccos, insurance & potential sukuk bond. Finance regulations have also been continuously reviewed to create a conducive business environment for Islamic finance.
These developments have made Kenya the leading market for Islamic finance in East Africa. *** according to gulf African bank, Kenya is well positioned for Islamic foreign investors as witnessed by new foreign entrants in the market (Dubai Islamic bank) & more foreign banks showing further interest (Al Baraka recently announced they would open in Kenya). Moreover, individual investors have also expressed interest in projects in Kenya that align with the Islamic finance guidelines. While Kenya still needs to streamline structures locally before the country fully markets itself as a conduit for Islamic based fdis, these opportunities & projects are the gateway to further growth of Islamic finance in Kenya with a high probability of spreading into neighboring countries like Uganda and Tanzania who are in the process of setting up policies and Structures for Islamic finance.
