Financial Services Regulatory Modernization in East Africa: The Search for a new

International Journal of Humanities and Social Science Vol. 1 No. 16; November 2011This article interrogates the appropriateness or suitability of the single or unified regulator financial services regulatory system in East Africa with Kenya as the reference point, in the context of financial services regulatory modernization. Using multiple jurisdictions, the article exemplifies the workings of the different regulatory systems. Drawing from experiences in other jurisdictions and the circumstances in Kenya, the discussion establishes that the prevailing market conditions cannot justify the shift to a unified regulator. The analysis makes the argument for retaining the current fragmented regulatory system over the short term, albeit with certain reforms.This article interrogates the appropriateness or suitability of the single or unified regulator financial services regulatory system in East Africa with Kenya as the reference point, in the context of financial services regulatory modernization. Using multiple jurisdictions, the article exemplifies the workings of the different regulatory systems. Drawing from experiences in other jurisdictions and the circumstances in Kenya, the discussion establishes that the prevailing market conditions cannot justify the shift to a unified regulator. The analysis makes the argument for retaining the current fragmented regulatory system over the short term, albeit with certain reforms

Placing Kenya on the global platform: an evaluation of the legal framework

International Journal of Humanities and Social Science. Vol. 1 No. 6; June2011This paper examines the efficacy of the arbitral law and ADR of Kenya. It postulates that while various reasons may be advanced to justify the poor utilization of the arbitral and ADR processes, the fact that from its inception in 1914, the legal framework disregarded local dispute resolution mechanisms is discernible as the main exposition. Second, domestication of international conventions has not engendered arbitration since it was adopted without the necessary policy framework, modifications or adaptation of the law to local circumstances. The Arbitration Act 1968 illuminates this postulation succinctly. The existing legal framework is oblivious to ADR mechanisms, is replete with omissions and encapsulates no decipherable policy. In a nutshell, the legal regime can neither enhance nor endear arbitration or ADR. There is a compelling case for comprehensive reforms and revision of the Arbitration Act, 1995.This paper examines the efficacy of the arbitral law and ADR of Kenya. It postulates that while various reasons may be advanced to justify the poor utilization of the arbitral and ADR processes, the fact that from its inception in 1914, the legal framework disregarded local dispute resolution mechanisms is discernible as the main exposition. Second, domestication of international conventions has not engendered arbitration since it was adopted without the necessary policy framework, modifications or adaptation of the law to local circumstances. The Arbitration Act 1968 illuminates this postulation succinctly. The existing legal framework is oblivious to ADR mechanisms, is replete with omissions and encapsulates no decipherable policy. In a nutshell, the legal regime can neither enhance nor endear arbitration or ADR. There is a compelling case for comprehensive reforms and revision of the Arbitration Act, 1995

Regulating Kenya’s securities markets: an assessment of the capital markets

International Journal of Humanities and Social Science Vol. 2 No. 20 [Special Issue – October 2012]The importance of an optimal regulatory and enforcement matrix in enhancing securities markets cannot be overemphasized. Countries with deep and vibrant securities markets generally have effective regulatoryand enforcement philosophies. This paper seeks to characterize the regulatory and enforcement paradigms ofKenya’s securities markets in the context of the global regulatory and enforcement philosophies. From the analysis, it is evident that the regulatory paradigm is indissolubly government or national with nominal self-regulation. Although the statutory framework enshrines self-regulation, the relevant provisions are ambiguous and remain ineffectual. The notion of self-regulation remains an illusion. The regulator enjoys plenary legislative and supervisory powers over market intermediaries and listed companies without being subject to meaningful accountability mechanisms. Amendments to the Capital Markets Act and its Regulations have consolidated the Capital Markets Authority’s position as a paramountregulator. Finally, the enforcement history of the Capital Markets Authority discloses no decipherable philosophy. Enforcement actions have been intermittent andreflect no imperatives.The importance of an optimal regulatory and enforcement matrix in enhancing securities markets cannot be overemphasized. Countries with deep and vibrant securities markets generally have effective regulatory and enforcement philosophies. This paper seeks to characterize the regulatory and enforcement paradigms of Kenya's securities markets in the context of the global regulatory and enforcement philosophies. From the analysis, it is evident that the regulatory paradigm is indissolubly government or national with nominal self-regulation. Although the statutory framework enshrines self-regulation, the relevant provisions are ambiguous and remain ineffectual. The notion of self-regulation remains an illusion. The regulator enjoys plenary legislative and supervisory powers over market intermediaries and listed companies without being subject to meaningful accountability mechanisms. Amendments to the Capital Markets Act and its Regulations have consolidated the Capital Markets Authority’s position as a paramount regulator. Finally, the enforcement history of the Capital Markets Authority discloses no decipherable philosophy. Enforcement actions have been intermittent and reflect no imperatives

Enhancing Securities Markets in Sub-Saharan Africa: An Overview of the Legal and Institutional Arrangements in Kenya

International Journal of Humanities and Social Science Vol. 1 No. 9 Special Issue – July 2011This paper explores the role of legal norms in the enhancement of securities markets in Sub-Saharan Africa where the markets are still nascent with specific reference to Kenya. Part I highlights the critical role that the legal and institutional framework plays in securities markets governance and investor protection. It postulates that for securities markets to thrive and deepen, countries must endeavor to create appropriate legal and institutional arrangements. Part II is an elucidation of the legal structures on securities markets and the financial services sector in Kenya. From the discussion, it is clear that the framework is characterized by gaps, duplications, inconsistencies and restrictions on investment. More importantly, there has never been a comprehensive approach to the promotion of financial services in Kenya. Part III examines the institutional arrangements and assesses their contribution to the enhancement of securities markets. Evidently, the multiplicity of regulatory bodies has not endeared the securities markets and there is need for reforms.This paper explores the role of legal norms in the enhancement of securities markets in Sub-Saharan Africa where the markets are still nascent with specific reference to Kenya. Part I highlights the critical role that the legal and institutional framework plays in securities markets governance and investor protection. It postulates that for securities markets to thrive and deepen, countries must endeavor to create appropriate legal and institutional arrangements. Part II is an elucidation of the legal structures on securities markets and the financial services sector in Kenya. From the discussion, it is clear that the framework is characterized by gaps, duplications, inconsistencies and restrictions on investment. More importantly, there has never been a comprehensive approach to the promotion of financial services in Kenya. Part III examines the institutional arrangements and assesses their contribution to the enhancement of securities markets. Evidently, the multiplicity of regulatory bodies has not endeared the securities markets and there is need for reforms