GAZETTE NOTICE NO. 8981

PURSUANT to section 8 of the Statutory Instruments Act, 2013, the Capital Markets Authority hereby notifies the public that a Regulatory Impact Statement on the proposed Draft Capital Markets (Credit Rating Agencies) Regulations, 2022 has been prepared to assess the impact of the Regulation on the related business. The overarching objective of the frameworks is to: (a) Clarify and emphasize the scope of applicability of requirements for approval for an entity operating credit rating agency irrespective of its size or international profile; (b) Enhance disclosure requirements for the rating agencies following gaps witnessed during the 2008 global financial crisis, while making them more facilitative, taking into consideration IOSCO Principles on Credit Rating Agencies; (c) Provide clear requirements for both locally incorporated as well as foreign incorporated rating agents; and (d) Inform refinement of Credit Rating Agencies guidelines. The Draft Capital Markets (Credit Rating Agencies) Regulations, 2022 provides for: (a) The eligibility criteria for approval of rating agencies established in Kenya and approval of foreign registered companies. (b) Responsibilities and obligations of rating agencies including on the rating process, procedure for review of rating and disclosures. (c) Role of the Capital Markets Authority in regulation of credit rating agencies. The Regulatory Impact Statement and proposed Regulations are available on www.cma.or.ke, and upon request through comments@cma.or.ke or physically at the Capital Markets Authority offices during normal working hours. Any person likely to be affected by the proposed Regulations may submit their comments within thirty (30) days from the date of publication of this notice to comments@cma.or.ke or to the address below: The Chief Executive, Capital Markets Authority, P.O. Box 74800- 00200 Nairobi, 3rd Floor, Embankment Plaza, Longonot Road, Upperhill. Nairobi. WYCKLIFFE SHAMIAH, MR/3883031 CEO, Capital Markets Authority.