The Competition Authority of Kenya (CAK) is looking into several unnamed banks over allegations that they fixed foreign exchange trades, giving the crisis—which has seen lenders run out of dollars on occasion—a new dimension.
According to the antitrust commission, “investigations are ongoing” into potential dollar exchange rate manipulation and collusion, which could result in fines and up to five years in prison for bankers.
This is similar to the intensified investigation into international banks that took place in Europe, Asia, the US, and South Africa in the past due to claims of price-rigging in currency markets.
