Kenya Country Summary

FATF Status

Kenya is on the FATF List of Countries that have been identified as having strategic AML deficiencies.

Compliance with FATF Recommendations

The latest follow-up Mutual Evaluation relating to the implementation of anti-money laundering and counter-terrorist financing standards in Kenya was undertaken in 2024. According to that Evaluation, Kenya was deemed Compliant for 19 and Largely Compliant for 9 of the FATF 40 Recommendations. It remains Highly Effective for 0 and Substantially Effective for 0 of the Effectiveness ratings.

Kenya continues to grapple with significant challenges related to crime and corruption, which hinder its development and foreign investment prospects. Despite having a robust legislative framework aimed at combating corruption, the implementation of these laws is often undermined by corrupt practices among officials and a lack of effective accountability mechanisms, leading to a persistent environment of impunity.

Kenya presents a favorable investment climate, attracting international firms with its strategic initiatives aimed at boosting foreign direct investment (FDI) and enhancing local economic growth through various sectors such as agriculture, healthcare, and digital technology. The government, under President Ruto's administration, is actively pursuing tax and regulatory reforms to streamline business operations, although challenges such as bureaucratic delays and corruption persist, as evidenced by its ranking in the Global Corruption Perception Index. Additionally, Kenya's robust infrastructure, including a well-developed telecommunications network and access to regional markets through trade agreements, positions it as a competitive hub for investors, despite ongoing economic vulnerabilities linked to high public debt and global financial pressures.