| dc.description.abstract | The prime motivational forces behind globalization are the giant economies of the
world, developed countries and multinational companies. The study set out to
establish the influence of the legal and regulatory environment on the business
operations of foreign multinational banks in Kenya which are a category of MNCs in
the banking sector. The study involved the analysis of the different types of laws that
govern the operations of foreign MNBs in Kenya, how these laws affect their business
operations when compared to their homegrown rivals. A trend analysis was
established on the basis of which a descriptive analysis was conducted to determine
the influence of the regulatory environment. An overall analysis showed that MNBs
operate in a complex legal environment characterised by their home country laws,
host country laws, international treaties and other laws formulated by other bodies
relevant in the banking sector. This regulatory environment influences their
competitiveness and their governance and as a consequence, these banks face some
restrictions that do not affect the local banks in Kenya. These banks have therefore
put in place structures to ensure completeness and consistency with these set of laws.
The research however established that some of these banks do not have in-hose legal
departments and made a recommendation that those without should put in place the
departments and the CBK should enforce that. The research was also able to establish
that Kenya can through CBK borrow a lot from the home country regulations of these
banks for purposes of strengthening the governance of the banking sector | en_US |
