Dealers in precious metals and stones in Kenya have been given a strict deadline to register with the Financial Reporting Centre (FRC) by April 11, 2025, or face the risk of losing their trading licenses.

This move is part of the country’s ongoing efforts to combat financial crimes, including money laundering, by ensuring stricter monitoring of sectors that pose high risks for illicit financial flows.

The precious metals and stones sector has been identified as a vulnerable area for illegal financial activities, and Kenya’s placement on the Financial Action Task Force’s (FATF) grey list in February 2024 has added urgency to the registration process.

This designation was a consequence of the country’s insufficient measures against money laundering, terrorism financing, and illicit arms trade, leading to heightened scrutiny on international transactions involving Kenyan banks.

With the registration deadline approaching, some dealers, particularly those in Mwatunge, Taita Taveta County, have voiced concerns about the process.

Several dealers admitted to having limited knowledge of the registration requirements, which has raised challenges in meeting the deadline.

To ease the registration process, the FRC has introduced an online platform integrated with the anti-money laundering system.

This is designed to facilitate compliance and streamline the procedure for the dealers.

FRC Director-General Saitoti Maika emphasized the significance of the directive, stating, “The directive will apply to individuals involved in the production of precious metals or stones at mining operations, intermediate buyers and brokers, precious stone cutters and polishers, metal refiners, jewellery manufacturers, retail sellers to the public, and buyers and sellers in the secondary and scrap markets.”

Dealers have been strongly urged to complete the registration without delay, as failure to comply could disrupt their operations and trading activities.