Nairobi, Jan. 19 -- The Financial Reporting Centre (FRC) is struggling to register non-financial firms and enforce compliance largely due to insufficient budget allocations, a situation that is undermining the war on money laundering.

The agency carried out a paltry 44 inspections of designated non-financial businesses and professions (DNFBPs) such as real estate agents and lawyers, as well as non-banking financial institutions in the year ended June 2025. This fell short of FRC's annual target of 487.

Registration of financial reporting entities also fell short of the goal by more than half. This was after FRC registered 455 entities against a target of 990.

The shrinking resource envelope constrained inspections, outreach, and the re...