The internal control mechanisms (compliance, risk management control and internal audit) are also essential, especially to guarantee suitable control of risks incurred in banking activity. The external auditor is responsible for exhaustively certifying the veracity and completeness of the information, namely the risks that the institution incurs and the costs for the different stakeholders.
Ladies and Gentlemen; in 2013, FRC entered into Memorandum of Understanding (MOU) with the respective domestic financial sector regulators comprising the Central Bank of Kenya, Capital Markets Authority, Insurance Regulatory Authority and the Retirement Benefits Authority. The MOU provides for supervision and enforcement of POCAMLA by the supervisors with respect to institutions under their purview.