Key Insights
- IC Markets has obtained a forex broker license in Kenya.
- The Australian broker can now offer online foreign exchange trading services as a non-dealing broker to Kenyan clients.
- Kenya’s robust regulations, rising incomes, and internet penetration have attracted several major FX/CFD brokers to the market.
NAIROBI (MarketsXplora) – Australian forex and contracts for difference (CFDs) broker IC Markets has been granted a license to operate in Kenya by the Capital Markets Authority (CMA), the regulator said on Monday, as competition intensifies among retail brokers tapping into the African market.
The license allows IC Markets Kenya Limited, a locally registered entity, to offer online foreign exchange trading services as a non-dealing broker to Kenyan clients, the CMA said.
IC Markets, headquartered in Sydney, has existing regulatory approvals in Australia, Cyprus, the Seychelles and the Bahamas. In March, it expanded from its core FX and CFDs business by launching proprietary trading services.
“The increasing demand for licenses in the intermediary sector in recent years is a positive emergence as it enhances competition, innovation, and the reach of capital markets products and services to retail investors,” CMA chief executive Wyckliffe Shamiah said in a statement.
In its latest licensing round, the Kenyan watchdog approved a total of five new firms across various segments of the capital markets.
With a population exceeding 54 million and a $113 billion economy – the seventh-largest in Africa – Kenya has emerged as an attractive destination for international retail brokers due to rising internet penetration, growing incomes and robust regulations.
Several major FX and CFDs brands have already established a presence in the East African nation, including FP Markets, Pepperstone, Exness, Admirals, INGOT Brokers, Scope Markets and Exinity.
IC Markets did not immediately respond to a request for comment on its new Kenyan license.
The Australian broker has been steadily expanding its global footprint over the past year, while also diversifying its product line-up beyond its core foreign exchange and contracts for difference offerings.