Financial Sector Regulation and Stability in Kenya…
Thus, a Financial Sector Regulators Forum was established in 2009 (under an MOU) to foster cooperation, share information and enhance policy coordination among financial regulators in Kenya comprising: CBK, capital market authority (CMA), Retirement Benefits Authority (RBA), Insurance Regulatory Authority (IRA) and Sacco Societies Regulatory Authority (SASRA) with the National Treasury as an observer
The Forum contributes to the effectiveness of financial regulation by providing a high-level forum for cooperation and offers a platform for generating informed public discussions on key aspects of financial sector stability in Kenya
The Forum prepares a Financial Sector Stability Report on bi-annual basis that:
provides the public and key stakeholders with an assessment and analysis of developments and performance of the economy and the financial sector in Kenya;
highlights major risks and vulnerabilities in the economy and the financial system; and
outlines policy actions taken to mitigate those risks and vulnerabilities by the regulators, government & other domestic and international agencies to achieve & sustain stability.
Within the Central Bank, the Board of Directors established a Financial Stability and Investment Committee (FSIC) that plays an oversight role in financial stability.
As part of its reforms, the Bank has recently created a Financial oversight Department to, among other things, coordinate financial sectors stability initiatives including conducting regular Finance access (FinAccess) surveys.