Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
The Authority has been credited for introducing the Regulatory Sandbox in May 2019 to support innovations in the capital markets with three firms admitted so far/FILE

Kenya

CMA admits two additional firms to The Regulatory Sandbox

NAIROBI, Kenya, Jun 19 – In line with its mandate to deepen and develop the capital markets industry, the Capital Markets Authority (CMA) has announced the admission of two firms namely; Pyypl Group Limited and Belrium Kenya Limited, to its Regulatory Sandbox test environment.

The two firms will test innovations in accordance with the requirements of the Capital Markets Regulatory Sandbox Policy Guidance Notes (PGN).

Pyypl Group Limited (pronounced as ‘people’) seeks to test its Pyypl for Entrepreneurs product, a blockchain-based platform for issuance of debentures (unsecured bonds) among entrepreneurs for 12 months. It is licensed by the securities market regulator in United Arab Emirates – Financial Services Regulatory Authority in line with the Regulatory Sandbox PGN. It’s subsidiaries in Bahrain and Kazakhstan are also active and licensed by the Central Bank of Bahrain and Astana Financial Services Regulatory Authority (Kazakhstan) respectively.

Belrium Kenya Limited has been admitted to the Regulatory Sandbox to test a blockchain-based and shareable know your customer (e-kyc) solution for capital markets intermediaries and investors. The test will be executed in a period of nine months. It’s parent company Belfrics Malaysia Sdn Bhd is a reporting institution with the Bank Negara Malaysia.

CMA Acting Chief Executive Wyckliffe Shamiah said, ‘we are encouraged to note the appetite for the Regulatory Sandbox among fintech firms and innovators within and beyond Kenya’s borders. This underscores the need for stronger coordination with financial sector regulators and other government agencies to ensure that there are no gaps or overlaps. Additionally, such coordination will ensure that scalable solutions touching on multiple sectors can be put in place where necessary.’

The CEO added that the developments cement the Authority’s efforts to leverage technology to drive efficiency in the capital markets value chain.

Shamiah added that CMA has relied on cross-border cooperation with peer regulators for fit and proper assessment of the two entities whose parent companies and their directors are incorporated in other jurisdictions, as part of the application review process.

The Authority said it will closely monitor the two firms during the testing period, relying on feedback from investors, system logs and periodic reports.

Since the Regulatory Sandbox became operational in March 2019, six companies have been admitted to test their innovations and one company has successfully exited the Regulatory Sandbox and is preparing to roll out the innovation to the wider market.

Advertisement. Scroll to continue reading.
Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Headlines

NAIROBI, Kenya, Mar 16 – The World Bank has given the Kenyan government USD 60 Million (Sh6.1 billion) to help combat the deadly coronavirus pandemic...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...