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Kenya warns against unlicensed online forex trading

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Kenya’s Capital Markets Authority (CMA) warned Kenyans on Monday against online foreign exchange trading through unlicensed entities, saying they risked losing their investments.

Paul Muthaura, CMA’s Chief Executive, said he observed several individuals and entities carrying on the business of an online foreign exchange broker or a money manager without the relevant licence by the Authority.

“The Capital Markets Authority (CMA) has issued only one license to EGM Securities Limited (formerly Execution Point Limited) to operate as a Non – Dealing Online Foreign Exchange Broker,” Muthaura said.

CMA said it planned to take appropriate action against any person conducting online foreign exchange trade illegally and had therefore asked anyone affected by the activity to report to it.

It directed all online foreign exchange brokers or money managers not licensed by the Authority should cease trading immediately. (Reuters/NAN)

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