Individuals who finance terrorism activities will be liable, upon conviction, to a term not exceeding 20 years or a fine not exceeding Sh20 million following the passage of a bill to contain the menaces. 

The Anti-Money Laundering and Combating of Terrorism Financing Laws (Amendment) Bill, 2025, which contains far-reaching recommendations to deal with terrorism and anti-money laundering, also seeks to enhance the powers of the Financial reporting centre and supervisory bodies. 

It will have the powers to supervise and enforce applications of preventative measures to combat the financing of terrorism and proliferation acts by institutions. 

It will also have the powers to supervise and enforce targeted financial sanctions by reporting institutions as well as ensure there are targeted financial sanctions, including freezing and prohibitions to prevent funds or other assets from being made available directly or indirectly. 

Reads bill as passed: “The bill proposed to amend the Prevention of Terrorism Act to expand the definition of terrorism financing to include the offences stipulated under sections 5 and 5A of the act. Further to this act the amendment seeks to align various provisions of the act with FATF.” 

The bill sponsored by Leader of the Majority Party Kimani Ichung’wah seeks to amend 10 existing Acts of Parliament relating to anti-money laundering, combating of financing of terrorism and proliferation acts. 

They include The Proceeds of Crime and Anti-Money Laundering Act (Cap. 59A), The Prevention of Terrorism Act (Cap. 59B), The Betting, Lotteries and Gaming Act (Cap. 131), the Retirement Benefits Act (Cap.197), the Mining act (CAP.306), the Sacco societies act (Cap. 490B), the Accountant’s Act (Cap.531) among others. 

The bill that seeks to address technical shortcomings in Kenya’s legal framework also seeks to empower the Public Benefits Regulatory Authority to monitor and report NGO finances to the government also seeks to monitor Non-Government Organisations funds. 

The bill seeks to empower the authority to safeguard civil society groups from the risk of money laundering and terrorism financing. 

Persons engaged in the production of precious minerals, buying of the same, manufacturing of jewellery, and retail selling of precious stones would be monitored as well.