Kenya Overhauls Trust Regulations with 2026 Act

The new law repeals the Trustee Act (Cap 167) and the Trustees (Perpetual Succession) Act (Cap 164), centralizing industry governance under the Registrar of Trusts. This office, operating within the Business Registration Service, now holds authority over the registry and ongoing supervision. Legal experts at Bowmans Kenya emphasize that trustees must move beyond existing deed requirements to prepare for mandatory, recurring filings.

The regulatory scope is broad, encompassing private, family, and charitable trusts, as well as court-ordered and customary law arrangements. Organizations managing employee share ownership plans, real estate investment trusts, and nominee holdings must now evaluate whether their structures fall under the Act’s definitions. Crucially, the legislation targets offshore trusts with Kenyan connections, requiring detailed disclosures of beneficial owners and local transactions.

While the Act preserves the status of trusts previously incorporated under the repealed statutes, the Registrar retains the power to recall old certificates and issue replacements. Trustees have until September 2028 to ensure full compliance, though they must track individual deadlines, including annual returns due within 30 days of each registration anniversary.