Ruto Signs Anti-Money Laundering And Insurance Bills Into Law
President William Ruto has signed into law two bills: the Anti-Money Laundering and Combating of Terrorism Financing Laws (Amendment) Bill and the Insurance Professionals Bill.
The two bills were sponsored by National Assembly Majority Leader Kimani Ichung’wah.
The Anti-Money Laundering Bill had earlier been returned to Parliament by the President with some recommendations. MPs passed it again on June 3, 2025, after making changes to accommodate the President’s concerns.
This law makes changes to 10 existing Acts of Parliament to strengthen Kenya’s efforts in the fight against money laundering and terrorism financing. It addresses weaknesses that had been identified by international watchdogs including the Eastern and Southern Africa Anti-Money Laundering Group (ESAAMLG) and the Financial Action Task Force (FATF), which had placed Kenya on the grey list in 2024.
The amendments target sectors such as real estate and mining, where loopholes have previously allowed illegal money to move undetected. The law also brings more professions and organizations under regulation, including lawyers and Public Benefit Organizations (PBOs). The Law Society of Kenya will now be tasked with supervising legal professionals for anti-money laundering purposes.
President Ruto said the changes will make Kenya safer, attract foreign investment, and help the government raise more revenue by formalizing more areas of the economy.
“The signing of the Anti-Money Laundering and Combating of Terrorism Financing Laws (Amendment) Bill 2025 reinforces this vision by sealing gaps that facilitate illicit financial flows via property transactions and the use of shell companies,” said the President during the signing ceremony at State House on Tuesday, June 17, 2025.
The law also strengthens the Financial Reporting Centre (FRC), which supports law enforcement in tracking dirty money. The FRC boss will now serve a single six-year term, just like the heads of other independent offices such as the Director of Public Prosecutions and the EACC CEO.
Officials believe these reforms will improve Kenya’s credit ratings and make it easier and cheaper for the country to borrow money on international markets.
The President also signed the Insurance Professionals Bill, which sets up a legal framework to regulate people working in the insurance industry. The goal is to improve professionalism, maintain service standards, and address misconduct.
The new law establishes the Insurance Institute of Kenya as the official body to register, supervise, and discipline insurance professionals. A Registration Committee will handle new registrations and issue practicing certificates, while a Disciplinary Committee will investigate and recommend action on cases of misconduct.
The Institute will not receive funding from the government. Instead, it will raise money through member subscriptions, exam fees, donations, and grants.