Past the exceptional progress in transaction volumes and worth, considered one of M-PESA’s most momentous milestones within the final monetary 12 months was the continued progress of small-value transactions, identified at Safaricom as M-PESA Kadogo.
Beneath the initiative, cellular cash transfers of KES100 and under and service provider funds of KES200 and under are zero-rated. Within the 2025/2026 monetary 12 months, whose outcomes have been introduced on Could 7, the initiative facilitated 17.1 billion free transactions, accounting for 58% of all M-PESA exercise.
For tens of millions of Kenyans, notably low-income earners and small companies, M-PESA Kadogo continues to interrupt down monetary obstacles by enabling free small-value transactions, increasing entry to digital monetary providers and strengthening participation within the formal digital financial system.
The free transactions embrace person-to-person (P2P) transfers of between KES 1 and KES 100, Lipa na M-PESA funds under KES 200, money deposits at M-PESA agent shops and airtime purchases by means of M-PESA.
The choice to take away the costs was made within the wake of COVID-19, throughout which prices on bank-to-M-PESA and transfers under KES1,000 had been eliminated.
For the corporate, the impact of the removing of prices was a tripling within the variety of transactions between 2020 and 2026.
Safaricom’s M-PESA platform processed 46.4 billion transactions price KES 41.7 trillion over the past monetary 12 months, reinforcing its place because the spine of Kenya’s digital financial system whereas accelerating monetary inclusion for tens of millions throughout the nation.
“With M-PESA Kadogo, our function is to make digital funds reasonably priced for small-scale every day purchases and deepen monetary inclusion. The removing of transaction charges has lowered friction and accelerated the utilization of M-PESA throughout the nation,” stated Peter Ndegwa, CEO, Safaricom.
The cellular monetary providers platform recorded a 13.4% progress in income to KES 182.7 billion, pushed by sturdy double-digit progress throughout client funds, enterprise funds and world funds.
Client funds remained the most important contributor to M-PESA income at KES 74.5 billion, adopted by enterprise funds at KES 56.7 billion, highlighting the platform’s evolution from a cash switch service right into a broad digital funds and monetary ecosystem.
One of many key highlights within the client enterprise is the exceptional progress of Pochi la Biashara, which has expanded considerably over the previous 12 months. Since its launch in 2021, the product has continued to achieve sturdy traction over the past two monetary years. The client base grew from 600,000 customers within the 2024 monetary 12 months to 1.1 million the next 12 months, earlier than doubling to 2.2 million within the final monetary 12 months.
Income progress has been equally spectacular, rising from KES 800 million in 2024 to KES 2.2 billion the next 12 months, and reaching KES 4 billion within the final monetary 12 months.
Pochi la Biashara clients also can make investments in a single day balances in Ziidi MMF, enabling their cash to develop.
The sustained progress of M-PESA displays the rising adoption of digital monetary providers and Safaricom’s continued dedication to advancing monetary inclusion, digital entry and financial empowerment throughout Kenya.
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