Mobile Money Accounts Surpassed 65 Million with a 46% Increase in Mobile Money Transactions in 2020, Says the Central Bank of Kenya

Regulatory bodies in Kenya give warning against fraudulent loan apps

The Central Bank of Kenya (CBK) has released data showing that Kenya experienced massive mobile money growth on all fronts following measures put in place to encourage mobile money use amid the Covid-19 fallout.

There were more than 6.6 million new mobile money accounts registered till November 2020 bringing the total to 65.766 million.


SEE ALSO: P2P Mobile Money Transactions Increased by 87% in 2020, Says the Central Bank of Kenya as It Introduces New Pricing Guidelines


Below is a detailed breakdown of the growth of the mobile money ecosystem in Kenya throughout 2020:

  • Total registered mobile money accounts – 65.7662 million (11% increase from 2019)
  • Total agent cash in cash out volume – $4.83 billion
  • Active mobile money agents – 275, 960 (24% increase from 2019)
  • October 2020 had the largest agent cash in cash out volumes of 174 million
  • P2P mobile money transactions increased by 87% in 2020
  • Transactions below KES 1, 000 (Approx. $9) increased by 114%
  • By December 2020, inflation was at 5.6% of Kenya’s GDP

Following the expiry of emergency measures to facilitate mobile money transactions in December 2020, CBK has introduced new principles to guide mobile money pricing.

Some of these guidelines that will see the mobile money landscape change in Kenya from 2021 are:

  • No charges for P2P transafers of up to KES 100 (Approx. $1) to any customer and network
  • No charges for transfers between mobile money wallets and bank accounts
  • Only regulated SACCOs are allowed to levy a charge for money transfers in order to facilitate their integration with the mobile money system

The new guidelines are expected to see further growth and usage of mobile money services in Kenya in 2021 and beyond.


RECOMMENDED READING: Kenyan Businesses Using Lipa Na M-PESA Mobile Money Cross 200, 000 with Over One Million Customers Added in 2020, Says Safaricom


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