This archive report was first published on 24 June 2020.
On June 24, 2020, the Central Bank of Kenya (CBK) announced an extension of the waiver on mobile money fees for transactions of Sh1,000 and below until the end of the year.
This decision was made in response to the ongoing COVID-19 pandemic, which has led to a significant increase in the use of mobile money channels by individuals in Kenya.
According to CBK, more than 1.6 million additional customers are now using mobile money channels, with most of the increase being in low-value transactions of Sh1,000 or less.
CBK had previously pushed banks and telcos to adjust prices due to the economic slowdown caused by the global coronavirus pandemic.
President Uhuru Kenyatta had asked them to consider reducing costs of transactions to allow customers use cashless modes of payment as part of the measures to prevent the transmission of COVID-19.
Additionally, the current tariff for transactions of above Sh70,000 will remain in place, and there will be no charge by payment service providers and commercial banks for transfers between mobile money wallets and bank accounts.
