• Despite the economic hardship, some people have been living splendidly with expensive cars, lavish properties, and extravagant lifestyles with no known money source or business.
  • Additionally, as per the real estate firm Knight Frank report, property prices are escalating with a 6.6% growth, ranking it 6th globally. This displays a broken system that has allowed some wealthy individuals to prosper while the rest of Kenyans languish in poverty.
Kenya is a lower-middle-income country with high poverty levels and a massive gap between the rich and the poor.

According to Kenya National Bureau of Statistics (KNBS), the Kenyan economy grew by 5% in the first quarter of 2024 and 4.6% in the second quarter of 2024; this remains ironic as most Kenyans are struggling to meet their basic needs. As a result of high government taxation, most industries are folding up and relocating to other countries, making the economy unbearable to the low-life Kenyans.

However, despite the economic hardship, some people have been living splendidly with expensive cars, lavish properties, and extravagant lifestyles with no known money source or business. Additionally, as per the real estate firm Knight Frank report, property prices are escalating with a 6.6% growth in Nairobi, ranking it 6th globally. This displays a broken system that has allowed some wealthy individuals to prosper while the rest of Kenyans languish in poverty.

The Kenya Financial Reporting Center (FRC), a government body tasked with combatting money laundering and financial terrorism, has released its report indicating a lack of compliance, especially in real estate and casinos.

Additionally, FRC, in its report, revealed that most suspicious transactions involved money entering the country from Somalia, DRC, Mozambique, Uganda, UAE and North America while cash left the country to be laundered in countries Mozambique, Uganda, Rwanda and Somalia this painting a clear picture of a country on the road to increased money laundry crimes.

Furthermore, the report revealed that USD 1 billion (Ksh129 Billion) had left the country while over $400 had entered the country through illicit financial flow practices.
“Euro-based transactions saw €34,119,606 declared in, with €2,978,317 going out. The GBP figures stood at £334,000 incoming and £405,525 outgoing. In Kenyan Shillings (KES), KES 118,700,440 was brought into the country, while KES 11,025,000 was taken out,” the report reveals.

The Agent’s report also outlines a significant increase in suspicious cash transactions with 5100 cases. Annually from 2017- 2022. 2023 recorded 6,633 cases compared to 2022 6,064, marking a substantial increase.

The report further reveals how mobile transactions, bank cash smuggling and virtual assets make it hard for authorities to track these transactions.

Politicians have made notable amassments of wealth with abnormal growth. For instance, in the recent cabinet vetting by the National Assembly, it was noted that some cabinet nominees recorded an increase in wealth of over 100 million in less than 8 months.
According to city lawyer Ahmednassir Abdullahi, it’s abnormal for someone to make 250 million in 25 years and make ksh100 million in 8 months.

“The vetting committee isn’t asking: in 25 years of your prime life, you made Sh250 million. How did you make 100 million in 18 months on a salary of Sh2 million per month, without other businesses?” he said.

All eyes are on the Kenyan government and its authorities to see the actions to be taken to end the menace of money laundering that professionals believe contributes to the shortcomings of the Kenyan economy.