Regulatory Sandbox: What it Could Mean for Kenya
Kenya’s Capital Markets Authority (CMA) is currently working on a regulatory sandbox in collaboration with the relevant stakeholders, according to its latest soundness reports. This comes at a time when the country is experiencing a growth in mobile lending, cryptocurrency use, and recommendations to apply blockchain technology in various sectors.
The Consultative Group to Assist the Poor (CGAP) defines a regulatory sandbox as “a framework set up by a regulator that allows fintech startups and other innovators to conduct live experiments in a controlled environment under a regulator’s supervision.” This means that entrepreneurs will have a chance to innovate while regulators ensure that consumers remain protected.
CMA is already in talks with some local players that includes BitPesa, Nailab, Point 50 Capital, and MyCenti among others.
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- Inclusive Fintech