The Accord took effect from the beginning of 2007 in G10 countries. However, the committee recognises that emerging countries such as Kenya will not be able to implement this accord in 2007 as they are yet to fulfill the prerequisites of the new Accord.
The Central Banks of Kenya, Uganda and Tanzania have indeed agreed that they will only implement the Basel II accord upon implementation of key prerequisites. These preconditions include: •  The full implementation of the Basel I Accord;  •  Adoption of Risk Based Supervision; and  •  Adherence to the Basel Core Principles for Effective Banking Supervision.