The Central Bank of Kenya (CBK) has taken regulatory action against Absa Bank Kenya citing the bank’s failure to provide information about some foreign exchange trades.
In a statement issued on Thursday, April 9, CBK said that Absa Bank Kenya failed to adhere to financial transaction requirements, including conducting standard checks on anti-money laundering and know-your-customer policies.
As such, CBK has ordered Absa Bank Kenya to cease to transacting as an authorised foreign exchange dealer in the Kenyan market for seven days, effective April 9.
Absa Bank Kenya has also been ordered to reverse the market positions that it created as a result of the flagged transactions.
Lastly, the Absa Bank Kenya is to place a robust framework that ensures all relevant documents for such foreign exchange transactions are available as required.
