The Central Bank of Kenya (CBK) announced that bank-to-mobile money transfers will start attracting fees.
This follows a push by the financial industry in Kenya to reinstate the charges after they were dropped at the start of the pandemic back in 2020.
Kenyans have been enjoying the free service for under three years now, but that comes to an end tomorrow, January 1, 2023.
Effectively, any transfers made to mobile money wallets will attract a transactional fee, and we have the numbers for KCB.
| Band in KES | Charges in KES | |
| Old | New | |
| 1 – 100 | 54.32 | Free |
| 101 – 500 | 54.32 | 11.20 |
| 501 – 1,000 | 54.32 | 13.60 |
| 1,001 – 1,500 | 62.88 | 16 |
| 1,501 – 2,500 | 62.88 | 26 |
| 2,501 – 3,500 | 62.88 | 38 |
| 3,501 – 5,000 | 62.88 | 50 |
| 5,001 – 7,500 | 62.88 | 64 |
| 7,501 – 20,000 | 62.88 | 76 |
| 20,001 – 150,000 | 62.88 | 78 |
To note, these are fees for sending money from your KCB account to M-PESA/mobile money wallet.
While it was also free, at least for some banks, to send money from mobile money wallets to banks, this will not be the case because the same directive now imposes fees for these transactions.
Telco Safaricom has since adjusted these paybill charges, which will go live as we roll into 2023. They have been reduced significantly, and up to 50 percent for some tariffs.
Here are the charges:
| Max band (KES) | Min band (KSH) | Current tariff (KES) | New tariff (KES) |
| 1 | 100 | 0 | 0 |
| 101 | 500 | 23 | 4 |
| 501 | 1,000 | 23 | 9 |
| 1,001 | 1,500 | 35 | 14 |
| 1,501 | 2,500 | 35 | 19 |
| 2,501 | 3,500 | 56 | 24 |
| 3,501 | 5,000 | 56 | 33 |
| 5,001 | 7,500 | 85 | 40 |
| 7,501 | 10,000 | 85 | 46 |
| 10,001 | 15,000 | 113 | 55 |
| 15,001 | 20,000 | 113 | 60 |
| 20,001 | 25,000 | 113 | 65 |
| 25,001 | 30,000 | 113 | 78 |
| 30,001 | 35,000 | 113 | 87 |
| 35,001 | 40,000 | 202 | 96 |
| 40,001 | 45,000 | 202 | 105 |
| 45,001 | 50,000 | 202 | 105 |
| 50,001 | 150,000 | 210 | 105 |
