Kenya proposes criminal penalties for unapproved high-risk AI systems

Kenya plans to criminalize the use of high-risk AI systems like credit scoring, biometrics, and health diagnostics without state approval, introducing fines up to KES 5 million ($38,000) or three-year jail terms. A draft Artificial Intelligence Bill 2026 sponsored by Senator Karen Nyamu would require approval from a new AI commissioner for deployment, extending criminal liability to company directors. The rules could slow product launches and increase legal risks for startups relying on third-party APIs. The bill's broad definition of 'high-risk' could impact finance, health, education, and local apps, shifting enforcement beyond civil penalties into criminal law unlike EU or UK regulations. Startups may face bottlenecks in rapid iteration and data access for proprietary models.

SOURCE: https://techcabal.com/2026/03/17/kenyas-ai-bill-threatens-jail-time-for-unapproved-tools/