The shipping industry has been flawed for bureaucracy and corruption. But as at now involved government agencies are drafting of a Bill aimed at restoring sanity in the industry by cutting illegal transactions and upholding transparency. Henceforth local Kenyan importers and exporters will be required to identify the individuals or companies sending or receiving packages from around the world. Commercial banks and other financial institutions will also be required to identify who is sending and receiving money and to assess the risk that the transaction might be used for illegal purposes.
This proposal was endorsed in a high-level conference of senior government officials in Mombasa including Interior Cabinet Secretary Fred Matiang’ i, Central Bank of Kenya Governor Patrick Njoroge and the director of Public Prosecutions Noordin Haji.
“The criminal activities we experience in our financial institution linked to illegal freight trade has damaged and endangered Kenya’s economy. In future, banks will have to adopt the ‘‘’Know Your Customer,’ scheme before any transaction is completed but at the same time ensure there are few barriers in doing business,” said Central Bank of Kenya Governor Patrick Njoroge
Once signed into law, the draft will be aligned with the East Africa Protocol on the Prevention and Combating Corruption and Illegal Trade. According to government agencies involved, the endorsed proposal will help in the fight against money laundering and shipments of fake drugs, narcotics, weapons and wildlife parts too, from or through the country.
Import-export agents, shippers and brokers have been urged to carry out due diligence, so as to pave way for the proposal to have ground to run on once implemented.