ADVOKS GLOBAL · KENYA
National Payment System Act
8. Objects, etc. of recognized payment system management body
Edition: 2025-11-04 · In force
8. Objects, etc. of recognized payment system management body
(1)A recognised payment system management body shall manage and regulate, in relation to its members, all matters affecting payment instructions, and in connection with those objects, shall—(a)provide a forum for the consideration of matters of policy and mutual interest concerning its members;(b)act as a medium for communication by its members with the Government, the Central Bank, any financial or other exchange, other public bodies, authorities and officials, the news media, the general public and other private associations and institutions; and(c)deal with and promote any other matter of interest to its members and foster co-operation among them.(2)In addition to any other provisions, the rules of a recognised payment system management body shall empower that body—(a)to admit members and to regulate, control and with the approval of the Central Bank terminate membership;(b)to constitute, establish or dissolve any body, committee or forum consisting of its members and which has an impact on, interacts with, has access to or makes use of any payment, clearing or settlement systems or operations;(c)to—(i)recommend for approval by the Central Bank criteria subject to which any person is to be granted limited membership of the payment system management body or is to be authorized to act as a system operator or a payment clearing house system operator within a payment system; and(ii)authorize that person to act as a system operator or payment clearing house system operator in accordance with that criteria; and(d)to recommend for approval by the Central Bank criteria subject to and in accordance with which a member who is also a Central Bank settlement system participant may be authorized to—(i)allow a bank, an institution or a branch of a foreign institution that is not a Central Bank settlement system participant to clear; or(ii)clear on behalf of a bank, an institution or a branch of a foreign institution that is not a Central Bank settlement system participant:Provided that the member shall settle payment obligations on behalf of such bank, an institution or branch of a foreign institution referred to in subparagraphs (i) and (ii).