Safaricom has announced that it will increase the account limits for its popular mobile money service M-PESA to KES 500,000, following approval from the Central Bank of Kenya (CBK).
The new account limit, which will take effect from Tuesday 15th August 2023, will apply to all M-PESA customers, allowing them to store and transact more money using their mobile phones.
The company also said that it will increase the daily transaction limit to KES 500,000 per day, up from the current limit of KES 300,000. However, the per transaction limit of KES 150,000 will remain unchanged.
Safaricom CEO Peter Ndegwa said that the move was aimed at providing more convenience and flexibility for customers and especially small businesses, as the country shifts to cashless transactions amid the COVID-19 pandemic.
“We appreciate the role that the Central Bank of Kenya has played by constantly providing guidance on innovations and protections that we have put in place to strengthen M-PESA’s adherence to KYC, anti-money laundering and other financial regulations and safeguards. The increased account limits will provide customers and especially small businesses with increased convenience as the share of cashless transactions continues to rise,” Ndegwa said in a statement.
M-PESA is one of the most successful mobile money platforms in the world, with over 30 million active users in Kenya and other African countries. It enables users to send and receive money, pay bills, buy goods and services, and access financial services such as savings and loans.
According to Safaricom’s latest financial report, M-PESA accounted for 33.6% of the company’s total revenue in the year ended March 2023, with a total of KES 1.625 trillion transacted through the platform in the 12 months.
The company said that more than 606,000 businesses were receiving payments through its Lipa Na M-PESA service, which allows merchants to accept payments from customers using their mobile phones.
Safaricom said that it will continue to innovate and enhance its products and services to meet the evolving needs of its customers and support the country’s economic recovery.