IC Markets has become the latest forex and contracts for difference (CFDs) broker to obtain a regulatory license in Kenya, Finance Magnates has learned. The Capital Markets Authority (CMA) in Kenya granted the license to the locally registered IC Markets Kenya Limited.

Kenya: A Hub for FX and CFDs Brokers in Africa

According to the Kenyan regulator, the IC Markets entity has been licensed to operate as a non-dealing online foreign exchange broker, similar to other such international retail brokers operating locally in the country.

“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,” said the CEO of CMA, Wyckliffe Shamiah.

In the latest licensing drive, the Kenyan regulator granted licenses to five new firms, which are operating in different capacities within the country’s capital markets.

The Australia-headquartered broker also expanded from its regular FX and CFDs offerings by launching prop trading services in late March, becoming one of the very few regulated brokers in the space.

Finance Magnates also approached IC Markets to learn about the new licensing but has not received any response as of press time.

A Growing and Promising Country

With a population of more than 54 million, Kenya has a nominal GDP of about $113 billion, making it the seventh-largest African economy. Penetration of the internet and mobile phones and a growing income level have made it very lucrative for retail brokers. It is also a country with a clear set of rules and regulations when it comes to operating retail brokers.

Under all these circumstances, several international FX and CFDs brokers have established a presence in Kenya and obtained local licenses. Some of the international brokers regulated in Kenya are FP Markets, Pepperstone, Exness, Admirals, INGOT Brokers, Scope Markets, and Exinity.