15 years in FinTech and payments. Maps your business model to the right licence scope and leads the file all the way to the CMA's licence decision, including banking and payment rails.
Get an investment license in Kenya.
Kenya rewrote its licensing rulebook on 11 December 2025. The Capital Markets Authority licenses every intermediary under the Capital Markets Act (Cap. 485A) and the Capital Markets (Licensing Requirements) (General) Regulations 2025 - Legal Notice 197 - which revoked the 2002 Regulations, added the broker-dealer, the OTC platform and algorithm-driven advice, and made licences perpetual. The capital ladder is printed in shillings: KES 20,000,000 for a dealer or a fund manager, KES 50,000,000 for a stockbroker, KES 70,000,000 for a broker-dealer, KES 150,000,000 for an investment bank; an investment adviser needs no fixed figure, only adequate resources and KES 500,000 of professional indemnity cover. The Act prints no decision period. The market is 47,564,296 people, taxed at 30%, and the 33.33% single-shareholder cap went with the Capital Markets (Amendment) Act 2025.
Updated
New regulations, a printed ladder, and no clock.
The statute is the Capital Markets Act, Chapter 485A - Act No. 17 of 1989, revised 2023 - and s. 23 lists who needs a licence: stockbroker, derivatives broker, dealer, investment adviser, fund manager, investment bank, central depository, authorised securities dealer, online forex broker, commodity dealer. The rules beneath it changed on 11 December 2025. The Capital Markets (Licensing Requirements) (General) Regulations 2025, Legal Notice 197, revoked the 2002 Regulations (reg. 59) and set the categories afresh: investment adviser (reg. 12, including digital platforms giving algorithm-driven advice with little or no human supervision, reg. 14), investment bank (reg. 16), broker-dealer (reg. 21, new), stockbroker (reg. 25), dealer (reg. 30), intermediary service platform provider (reg. 34, new), fund manager (reg. 37), custodian (reg. 41, a bank only), trustee (reg. 46). An adviser is a company or LLP incorporated in Kenya (reg. 13(a)); a stockbroker, dealer or broker-dealer a company limited by shares. Online forex brokers keep their own 2017 Regulations.
The capital sits in the regulations themselves. An investment bank holds KES 150,000,000 of paid-up capital and shareholders' funds (reg. 19(1), down from KES 250,000,000 under the old reg. 44); a broker-dealer KES 70,000,000 (reg. 23(1)); a stockbroker KES 50,000,000 (reg. 28(1)); a dealer KES 20,000,000 (reg. 32(1)); a fund manager's shareholders' funds never fall below KES 20,000,000 (reg. 39(1)); an investment adviser shows adequate financial resources (reg. 12(3)(c)) and professional indemnity insurance of at least KES 500,000 (reg. 12(3)(f)). Liquid capital runs beneath: KES 50,000,000 or 8% of total liabilities for an investment bank (reg. 19(3)), KES 30,000,000 for a stockbroker, KES 10,000,000 for a dealer. The Act sets no decision period (s. 24); an approval-in-principle is valid for six months (reg. 49) and the licence, once granted, stays valid unless suspended or revoked (reg. 50). The CMA's register shows 23 investment banks, 10 stockbrokers, 54 fund managers and 32-34 investment advisers.
The CMA licenses under the Capital Markets Act (Cap. 485A) and the 2025 Licensing Regulations (L.N. 197, 11 December 2025): KES 20,000,000 fund manager or dealer, KES 50,000,000 stockbroker, KES 70,000,000 broker-dealer, KES 150,000,000 investment bank; an adviser needs adequate resources and KES 500,000 of indemnity cover. No statutory clock; licences are perpetual.
30% corporate tax for a resident company, 37.5% for a non-resident one, 16% VAT at the general rate. 47,564,296 people (KNBS 2019 census). Built from Nairobi.
The adviser with no fixed capital - or the fund manager at KES 20 million.
Two licences at the light end of a ladder that runs to KES 150,000,000: the investment adviser, which needs adequate resources and KES 500,000 of indemnity cover rather than a capital figure, and the fund manager, which holds KES 20,000,000 of shareholders' funds and appoints a custodian. Stockbroker, broker-dealer and investment bank sit above at KES 50, 70 and 150 million. We fix the category first, then build once.
The adviser with no fixed capital - or the fund manager at KES 20 million.
The adviser, human or algorithmic
Reg. 12: no one advises on securities or holds out as an adviser without a CMA licence, and reg. 2 pulls in digital platforms giving automated, algorithm-driven advice with little or no human supervision (reg. 14). The applicant is a company or LLP incorporated in Kenya (reg. 13(a)) with representatives of at least three years' experience (reg. 13(c)); it shows adequate financial resources (reg. 12(3)(c)) and KES 500,000 of professional indemnity insurance (reg. 12(3)(f)), files a monthly capital adequacy report (reg. 15) and pays KES 10,000 to apply, KES 100,000 for the licence and KES 100,000 a year.
Reg. 12: no one advises on securities or holds out as an adviser without a CMA licence, and reg. 2 pulls in digital platforms giving automated, algorithm-driven advice with little or no human supervision (reg. 14). The applicant is a company or LLP incorporated in Kenya (reg. 13(a)) with representatives of at least three years' experience (reg. 13(c)); it shows adequate financial resources (reg. 12(3)(c)) and KES 500,000 of professional indemnity insurance (reg. 12(3)(f)), files a monthly capital adequacy report (reg. 15) and pays KES 10,000 to apply, KES 100,000 for the licence and KES 100,000 a year.
- ✓Advice and algorithm-driven platforms (regs 12, 14)
- ✓Company or LLP in Kenya (reg. 13(a))
- ✓No fixed capital · adequate resources (reg. 12(3)(c))
- ✓PI insurance KES 500,000 (reg. 12(3)(f))
- ✓Representatives with three years' experience (reg. 13(c))
- ✓Fees KES 10,000 · 100,000 · 100,000 a year
The fund manager
Act s. 2: the manager of a collective investment scheme, a registered venture capital company, or an adviser managing a portfolio above the CMA's threshold. Reg. 37 licenses it; reg. 39(1) keeps shareholders' funds at KES 20,000,000 or more throughout the licence period (KES 10,000,000 under the old reg. 30); reg. 39 requires a custodian - a licensed bank, a related company permitted; reg. 40 a monthly risk-based capital adequacy report. Fees: KES 10,000 to apply, KES 100,000 for the licence, then 0.05% of collective AUM a year (0.01% non-collective), floor KES 100,000, cap KES 15,000,000. CIS and AIF managers are licensed fund managers under the 2023 Regulations.
CIS, venture capital and portfolio management under Act s. 2 - KES 20,000,000 shareholders' funds, a bank custodian, 0.05% of AUM a year.
- ✓CIS, venture capital and portfolio management (s. 2)
- ✓KES 20,000,000 shareholders' funds at all times (reg. 39(1))
- ✓Custodian appointed - a licensed bank (regs 39, 41)
- ✓Monthly capital adequacy report (reg. 40)
- ✓Annual fee 0.05% of AUM · KES 100,000-15,000,000
- ✓54 fund managers on the CMA register
Costs and timelines are confirmed for your case before any work begins. CMA fees follow the Sixth Schedule of the 2025 Regulations; the Authority prints no decision period, and the processing times in its 2015 circular are confirmed with the licensing department before filing.
A 47-million market with a fresh rulebook.
Kenya sells a market of 47,564,296 people behind regulations rewritten in December 2025 - and a regulator that prints its capital and its fees but not its clock.
The 2019 Kenya Population and Housing Census figure from KNBS - the pool behind the Nairobi Securities Exchange, served only through a CMA licensee.KNBS 2019 census.
The Capital Markets (Amendment) Act 2025 removed the 33.33% limit on a single shareholder in a market intermediary; a controlling stake now needs only the CMA's approval.Amendment Act 2025.
Reg. 50 of the 2025 Regulations: the licence stays valid unless suspended or revoked, on an annual regulatory fee - the old renewal by 30 November each year is gone.Reg. 50, annual fee.
Reg. 12(3): adequate financial resources and KES 500,000 of professional indemnity cover, not a paid-up figure - and reg. 14 licenses algorithm-driven advice by name.No fixed capital; KES 500,000 PI.
KES 20,000,000 dealer or fund manager, KES 50,000,000 stockbroker, KES 70,000,000 broker-dealer, KES 150,000,000 investment bank (regs 19, 23, 28, 32, 39) - and the investment bank fell from KES 250,000,000.KES 20M to 150M.
Act s. 24 and regs 49-50 set no decision period; an approval-in-principle lasts six months. The CMA's processing-time circular dates from 2015, and its times are confirmed with the licensing department. Plan the file as open-ended.AIP lasts six months.
How Kenya differs from other routes.
The honest comparison: a printed capital ladder and a perpetual licence with no clock - against Ghana's 90 days, Rwanda's 30, and Nigeria's naira floors.
| Feature | Kenya | Other jurisdictions |
|---|---|---|
| Regime | Capital Markets Act Cap. 485A - CMA | SEC Nigeria · SEC Ghana · CMA Rwanda |
| Capital | KES 20M fund manager · KES 150M investment bank | NGN 150M fund manager Nigeria · GHC 2M Ghana · RWF 20M Rwanda |
| Scope | Domestic market, no EAC passport | Domestic only - no passport |
| Timeline | No statutory period · AIP 6 months | No published clock Nigeria · 90 days Ghana · 30 calendar days Rwanda |
| Country | License type | Taxation | Requirements |
|---|---|---|---|
Kenya | CMA adviser · fund manager · investment bank | 30% · 37.5% non-resident · 16% VAT | KES 20M fund manager · KES 150M investment bank · no clock |
Nigeria | SEC broker/dealer · fund manager · adviser | 0% small companies from 2026 · standard rate confirmed per case | NGN 300M broker/dealer · NGN 150M fund manager · no clock |
Ghana | SEC broker-dealer · fund manager · adviser | 25% CIT · 8% dividend WHT | GHC 2M fund manager · GHC 1.5M broker-dealer · 90 days |
Rwanda | CMA broker · investment manager · investment bank | 28% CIT | RWF 20M investment manager · RWF 200M investment bank · 30 days |
Kenya
Nigeria
Ghana
RwandaRequirements for the Kenyan licence.Requirements for the licence.
Reg. 56 sets the standard for people, regs 12-46 the money by category, the Sixth Schedule the fees, and the CMA's checklists the paper. The checklist below is what a passing eCitizen application contains.
Reflects the Capital Markets Act (Cap. 485A, Rev. 2023), the Capital Markets (Licensing Requirements) (General) Regulations 2025 (L.N. 197 of 2025) and the CMA licensing checklists re-issued 15 September 2026.Capital Markets Act Cap. 485A + L.N. 197 of 2025, as of 2026.
From first call to the CMA register.
Adviser, fund manager or a dealing licence - and the capital of regs 19-39 that comes with it.KES floor fixed.
Kenyan company or LLP, three directors, senior officers named, capital paid and audited.Senior officers named.
Application in the prescribed form with the prescribed fee (Act s. 24) and the CMA checklist - complete at filing.Complete at filing.
No statutory period; approval-in-principle once the file substantially meets the requirements, valid six months (reg. 49).AIP, six months.
A perpetual licence (reg. 50), the annual regulatory fee, custodian and market access open.Perpetual, live.
The 2025 Regulations print every figure a founder needs except the one the Act never gave: the decision period. The craft is a file that earns approval-in-principle first time and uses its six months well.
Run from our Nairobi office.

Adviser, fund manager, stockbroker, broker-dealer or investment bank - fixed in writing with the KES figure of the 2025 Regulations before drafting.Fixed in writing.
The CMA checklist, re-issued 15 September 2026: business plan, policies, fit-and-proper packs and the capital evidence - complete at submission.Complete at submission.
Three directors with one-third independent, a non-executive chair, CEO, CFO and internal auditor from ICPAK, compliance and risk officers - sourced in Nairobi.Sourced in Nairobi.
The custodian bank for a fund manager, NSE and CDSC access for a broker, and bank accounts sequenced with approval-in-principle and the licence.Sequenced with the licence.







Taxation of investment firms in Kenya.
A flat 30% for residents, 37.5% for a non-resident company, 16% VAT - and two figures confirmed per structure in the quote.
KRA: resident companies are taxed at 30% - one rate for a licensed intermediary, no scale.Resident companies.
A non-resident company pays 37.5% - one reason the licence is held through a Kenyan company, which the 2025 Regulations require in any case.Non-resident companies.
The general rate on all taxable goods and services; the exemption position for financial services is confirmed per structure, so the fee lines are modelled in the quote.Exemption per structure.
The withholding on dividends to a foreign parent depends on the parent's jurisdiction and is confirmed in writing before the structure is fixed.Confirmed per structure.
Sixth Schedule: KES 100,000 for an adviser, stockbroker or dealer; KES 200,000 broker-dealer; KES 250,000 investment bank; a fund manager 0.05% of collective AUM (0.01% non-collective), KES 100,000 to 15,000,000.KES 100,000 · 0.05% AUM.
Fifth Schedule: 0.01% of equity value and 0.004% on bonds to the Investor Compensation Fund of Act s. 18; a stockbroker's net 0.02% to the ICF and the CDSC Guarantee Fund.0.01% equity · 0.004% bonds.
*Figures as of 2026 per Kenyan law and KRA guidance. Group and founder-level outcomes are modelled per structure.
Experienced lawyers and international consultants.
We provide end-to-end support, from company registration and the application file to regulatory interaction and compliance oversight - with an individualized approach to each client.
Builds the application itself: Kenyan company, AML/KYC policy pack, capital structure and tax registrations. His document sets are the reason reviews finish in months, not years.
First point of contact for international founders. Runs the whole setup remotely, across time zones and languages - from the first call to a live, licensed firm.
Active across our channels.
Launch your investment firm in Kenya with expert support.
Full-service assistance - from the Kenyan company and the capital to the eCitizen file, the board and senior officers, custody and ongoing compliance - run through our Nairobi office.
Get a consultation →Is Kenya the right fit for your project?
Our legal team will analyze your case at no cost and provide a written legal opinion: which jurisdiction, licence scope, or route fits your business.
The Kenyan investment licence, answered.
Who licenses an investment firm in Kenya?+
The Capital Markets Authority, under the Capital Markets Act (Cap. 485A) s. 23 and the Capital Markets (Licensing Requirements) (General) Regulations 2025. Applications go through the eCitizen portal; the Nairobi Securities Exchange and the CDSC sit beneath the licence, and the Capital Markets Tribunal (s. 35A) hears appeals.
Which licence categories exist?+
Under the 2025 Regulations: investment adviser, investment bank, broker-dealer, stockbroker, dealer, intermediary service platform provider, fund manager, custodian and trustee (regs 12, 16, 21, 25, 30, 34, 37, 41 and 46, in that order). Online forex brokers are licensed under the 2017 Regulations, and the Act's s. 23 list adds derivatives brokers and commodity dealers.
What capital is required?+
KES 150,000,000 paid-up capital and shareholders' funds for an investment bank; KES 70,000,000 for a broker-dealer; KES 50,000,000 for a stockbroker; KES 20,000,000 for a dealer; KES 20,000,000 of shareholders' funds for a fund manager (regs 19(1), 23(1), 28(1), 32(1) and 39(1)). Liquid capital of 8% of liabilities or a floor runs alongside; an adviser needs no fixed figure.
Does an investment adviser need capital?+
No fixed figure. Reg. 12(3)(c) asks for evidence of adequate financial resources to operate the business and reg. 12(3)(f) for professional indemnity insurance of at least KES 500,000; a monthly risk-based capital adequacy report follows under reg. 15 and the CMA's financial resource guidelines.
How long does licensing take?+
The Act and the 2025 Regulations set no decision period (s. 24; regs 49-50). The CMA grants an approval-in-principle when the application substantially meets the requirements, valid for six months, then the licence. The processing times in its 2015 circular are confirmed with the licensing department before filing.
Can a foreign group own the firm?+
Yes. The 2025 Regulations carry no foreign-ownership restriction beyond beneficial-ownership disclosure, and the Capital Markets (Amendment) Act 2025 removed the 33.33% single-shareholder cap, so a controlling stake needs only the CMA's approval. The licensee itself must be incorporated in Kenya.
What people does the CMA require?+
At least three directors, one-third independent non-executive and a non-executive chair; a CEO, a CFO and an internal auditor who are ICPAK members, a risk officer, a compliance officer and a company secretary - each of them fit and proper under reg. 56(1). Adviser representatives need three years' experience (reg. 13(c)).
How are Kenyan investment firms taxed?+
30% corporate tax for a resident company, 37.5% for a non-resident one, 16% VAT at the general rate. The financial-services VAT exemption and the withholding on dividends to non-residents are confirmed per structure in the quote; the CMA's annual fee and the ICF levies come on top.
Kenya or Rwanda for a new firm?+
Kenya buys 47.6 million people, 54 licensed fund managers and a perpetual licence, with no decision clock. Rwanda buys a 30-calendar-day statutory decision (Regulation 01/2012 art. 18), RWF 20,000,000 for an investment manager and 28% tax, in a market of 14.4 million with 35 regulated entities. Rwanda is faster and cheaper; Kenya is the market.
Why Prifinance for Kenya?+
A Nairobi office for the eCitizen file, the capital of the 2025 Regulations fixed by category before drafting, a board and ICPAK-qualified officers sourced locally, and the approval-in-principle earned first time so its six months are spent on launch, not on questions.
Who licenses?+
The CMA.
Categories?+
Nine under the 2025 Regulations.
Capital?+
KES 20M to 150M.
Adviser capital?+
None fixed; KES 500,000 PI.
How long?+
No clock; AIP six months.
Foreign owners?+
Yes; cap removed in 2025.
People?+
Three directors, ICPAK CFO.
Taxes?+
30% + 16% VAT.
Or Rwanda?+
Market vs 30-day clock.
Why you?+
Nairobi, AIP first time.
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One message away from your Kenya investment licence.
Get a free legal opinion on your project - our legal team will analyze your case at no cost and provide a written legal opinion: which jurisdiction, licence scope, or route fits your business.Free legal opinion: which Kenyan category fits your project and what it will cost.
Prifinance is an independent law and advisory firm. We are not a regulator and are not affiliated with, endorsed by, or acting on behalf of the Capital Markets Authority of Kenya or any other public authority. Authorisations are granted by, and obtained directly from, the competent authorities.