The Central Bank of Kenya has published a consultative paper and draft regulations for public comment on a proposed overhaul of commercial bank licence fees. The proposal would replace a fee structure that has been in place for over 30 years with a framework intended to align with international standards and modern banking dynamics, and to better cover rising supervisory and regulatory costs linked to more complex oversight, including consolidated and cross-border supervision. After reviewing approaches used by domestic regulators and selected international jurisdictions, the paper proposes adopting a Gross Annual Revenue methodology with a 1 percent fee rate, to be prorated over three years. Stakeholders have 21 days to submit comments, with feedback requested by March 31, 2025.
Central Bank of Kenya launches consultation on revised commercial bank licence fees based on a 1 percent gross annual revenue model
The Central Bank of Kenya has released a consultative paper and draft regulations proposing a new framework for commercial bank licence fees. The overhaul aims to align with international standards and address rising supervisory costs, introducing a Gross Annual Revenue methodology with a 1 percent fee rate. Stakeholders are invited to submit comments on the proposal.