The Central Bank of Kenya (CBK) has published the draft Central Bank of Kenya (Credit Guarantee Business) Regulations, 2025 for public comment, setting out how credit guarantee business will be regulated and supervised under amendments to the CBK Act introduced by the Business Laws (Amendment) Act, 2024. Under the framework, any entity undertaking credit guarantee business in Kenya must be registered or licensed by CBK within the five-year period stipulated in the Act. Registered credit guarantee providers would be required to meet minimum regulatory standards consistent with their operations, while licensed credit guarantee companies would be subject to more stringent prudential requirements. The draft Regulations set requirements covering registration and licensing, governance, risk management, and other operational obligations. Comments on the draft Regulations are due by Wednesday, October 15, 2025.
Central Bank of Kenya 2025-09-25
Central Bank of Kenya consults on draft regulations to register and license credit guarantee providers
The Central Bank of Kenya (CBK) has released draft regulations for the Credit Guarantee Business, detailing the regulatory and supervisory framework under the amended CBK Act. Entities must register or obtain a license from CBK within five years, with varying regulatory standards based on their status. The draft outlines requirements for registration, licensing, governance, risk management, and operational obligations.