Kenya's Mobile Money Transactions Hit Record KSh 6.5 Trillion in 2024

Kenya's mobile money ecosystem has achieved a significant milestone, recording transactions worth KSh 6.5 trillion ($43.4 billion) between January and October 2024. This marks an 18% increase from the KSh 5.5 trillion reported in the same period in 2023, underscoring the continued growth and adoption of digital financial services.

Key Highlights:

Daily Transactions: On average, Kenyans conducted transactions worth KSh 21 billion daily, reflecting the system's integration into everyday life.

Leading Platforms: Safaricom's M-Pesa remains the dominant player, accounting for over 70% of the transactions, followed by Airtel Money and T-Kash.

Usage Trends: 

  Person-to-Person Transfers: These transfers accounted for 40% of total transactions.

 Business Transactions: Payments to merchants and businesses have surged, constituting 35% of the volume, fueled by the growing acceptance of mobile money for retail purchases.

 Government Payments: Initiatives like eCitizen and digital tax payments contributed significantly to the platform's utility.

 Factors Driving Growth:

Broad Access: With mobile penetration at 92% and over 35 million registered mobile money users, the infrastructure is well-established.

Innovative Products: Services like Fuliza (overdraft) and M-Shwari (savings and loans) continue to attract new users.

Economic Integration: SMEs increasingly rely on mobile money for operational transactions, further embedding it in Kenya's economic fabric.

Challenges and Regulatory Focus:

The record-breaking performance comes amid concerns over rising transaction fees and fraud. Regulators, including the Central Bank of Kenya, are focusing on enhancing consumer protection while fostering innovation in the sector.

Global Leadership:

Kenya's mobile money system is often lauded as a model for financial inclusion globally. This growth trajectory highlights its pivotal role in economic development and the digitization of financial services.

The record KSh 6.5 trillion underscores not just the sector's resilience but also its potential to transform Kenya into a fully cashless economy.

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